- A
Enable detailed monitoring on all instances.
Why wrong: Increases cost without direct performance benefit.
- B
Purchase Reserved Instances for the baseline capacity.
Reserved Instances reduce cost for steady load.
- C
Terminate all idle instances.
Why wrong: This saves cost but does not improve performance.
- D
Use larger instance types for all instances.
Why wrong: Improves performance but increases cost.
- E
Implement Auto Scaling to adjust capacity based on demand.
Auto Scaling optimizes cost and performance.
Question 784 of 1,546
Improving EC2 Cost Efficiency and Performance with Reserved Instances and Auto Scaling
This SOA-C02 practice question tests your understanding of cost and performance optimization. Read the scenario carefully and evaluate each option against the stated constraints before committing to an answer. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
A company is running a production web application on EC2 instances. Which TWO actions would improve both cost efficiency and performance?
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Purchase Reserved Instances for the baseline capacity.
Options B and E are correct. Purchasing Reserved Instances for the baseline capacity reduces cost compared to On-Demand pricing. Implementing Auto Scaling adjusts capacity based on demand, ensuring performance during peaks and cost savings during low traffic. Option A (detailed monitoring) incurs additional cost without direct performance benefit. Option C (terminating idle instances) saves cost but does not improve performance. Option D (larger instance types) may improve performance but typically increases cost, making it not cost-efficient.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Enable detailed monitoring on all instances.
Why it's wrong here
Increases cost without direct performance benefit.
- ✓
Purchase Reserved Instances for the baseline capacity.
Why this is correct
Reserved Instances reduce cost for steady load.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
Terminate all idle instances.
Why it's wrong here
This saves cost but does not improve performance.
- ✗
Use larger instance types for all instances.
Why it's wrong here
Improves performance but increases cost.
- ✓
Implement Auto Scaling to adjust capacity based on demand.
Why this is correct
Auto Scaling optimizes cost and performance.
Related concept
Read the scenario before looking for a memorised answer.
Common exam traps
Common exam trap: answer the scenario, not the keyword
Many certification questions include familiar terms but test a specific constraint. Read the exact wording before choosing an answer that is generally true but wrong for this case.
Detailed technical explanation
How to think about this question
This question should be treated as a scenario, not a definition check. Identify the problem, the constraint and the best action. Then compare each option against those facts.
KKey Concepts to Remember
- Read the scenario before looking for a memorised answer.
- Find the constraint that changes the correct option.
- Eliminate answers that are true in general but not in this case.
- Use explanations to understand the rule behind the answer.
TExam Day Tips
- Underline the problem statement mentally.
- Watch for words such as best, first, most likely and least administrative effort.
- Review why wrong options are wrong, not only why the correct option is correct.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Real-world example
How this comes up in practice
A startup's cloud architect reviews their monthly bill and notices costs are higher than expected for a long-running batch job. Switching from on-demand instances to Reserved Instances — or using Spot/Preemptible VMs — can reduce compute costs by up to 72 %. Questions like this test whether you understand the tradeoffs between commitment, flexibility, and cost across cloud pricing models.
What to study next
Got this wrong? Here's your next step.
Identify which SOA-C02 exam domain this question belongs to, then review the specific concept being tested. Practise related questions in that domain and focus on understanding why each wrong answer is tempting — not just why the correct answer is right.
- →
Cost and Performance Optimization — study guide chapter
Learn the concepts, then practise the questions
- →
Cost and Performance Optimization practice questions
Targeted practice on this topic area only
- →
All SOA-C02 questions
1,546 questions across all exam domains
- →
AWS Certified SysOps Administrator Associate SOA-C02 study guide
Full concept coverage aligned to exam objectives
- →
SOA-C02 practice test guide
How to use practice tests most effectively before exam day
Related practice questions
Related SOA-C02 practice-question pages
Use these pages to review the topic behind this question. This is how one missed question becomes focused revision.
Monitoring, Logging, and Remediation practice questions
Practise SOA-C02 questions linked to Monitoring, Logging, and Remediation.
Reliability and Business Continuity practice questions
Practise SOA-C02 questions linked to Reliability and Business Continuity.
Deployment, Provisioning, and Automation practice questions
Practise SOA-C02 questions linked to Deployment, Provisioning, and Automation.
Security and Compliance practice questions
Practise SOA-C02 questions linked to Security and Compliance.
Networking and Content Delivery practice questions
Practise SOA-C02 questions linked to Networking and Content Delivery.
Cost and Performance Optimization practice questions
Practise SOA-C02 questions linked to Cost and Performance Optimization.
SOA-C02 fundamentals practice questions
Practise SOA-C02 questions linked to SOA-C02 fundamentals.
SOA-C02 scenario practice questions
Practise SOA-C02 questions linked to SOA-C02 scenario.
SOA-C02 troubleshooting practice questions
Practise SOA-C02 questions linked to SOA-C02 troubleshooting.
Practice this exam
Start a free SOA-C02 practice session
Short sessions build daily habit. Longer sessions build exam-day stamina. Try a timed session to simulate real conditions.
FAQ
Questions learners often ask
What does this SOA-C02 question test?
Cost and Performance Optimization — This question tests Cost and Performance Optimization — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Purchase Reserved Instances for the baseline capacity. — Options B and E are correct. Purchasing Reserved Instances for the baseline capacity reduces cost compared to On-Demand pricing. Implementing Auto Scaling adjusts capacity based on demand, ensuring performance during peaks and cost savings during low traffic. Option A (detailed monitoring) incurs additional cost without direct performance benefit. Option C (terminating idle instances) saves cost but does not improve performance. Option D (larger instance types) may improve performance but typically increases cost, making it not cost-efficient.
What should I do if I get this SOA-C02 question wrong?
Identify which SOA-C02 exam domain this question belongs to, then review the specific concept being tested. Practise related questions in that domain and focus on understanding why each wrong answer is tempting — not just why the correct answer is right.
What is the key concept behind this question?
Read the scenario before looking for a memorised answer.
About these practice questions
Courseiva creates original exam-style practice questions with explanations and wrong-answer analysis. It does not publish real exam questions, exam dumps, or protected exam content. Learn why practice questions differ from exam dumps →
Same concept, more angles
2 more ways this is tested on SOA-C02
These questions test the same concept from different angles. Work through them to make sure you can recognise it however the exam phrases it.
Variation 1. A SysOps administrator manages a web application running on Amazon EC2 instances that run 24/7 for the next 12 months. The workload is steady and predictable. Which EC2 purchasing option provides the highest cost savings for this use case?
easy- ✓ A.Standard Reserved Instances
- B.Spot Instances
- C.On-Demand Instances
- D.Savings Plans (Compute)
Why A: Standard Reserved Instances provide the highest cost savings for a steady, predictable 24/7 workload over a 12-month period because they offer a significant discount (up to 72% compared to On-Demand) in exchange for a commitment to a specific instance family, region, and term length. Since the workload runs continuously without interruption, the upfront payment or partial upfront payment for a 1-year term maximizes savings without the risk of interruption or the need for flexibility.
Variation 2. A company runs a production workload on Amazon EC2 instances. The SysOps administrator wants to implement a cost optimization strategy that does not compromise availability. Which TWO actions should the administrator take?
medium- ✓ A.Use Spot Instances for fault-tolerant and stateless workloads.
- B.Identify and terminate idle instances.
- ✓ C.Purchase Reserved Instances for baseline capacity.
- D.Use smaller instance types for all workloads.
- E.Use a single Availability Zone to reduce data transfer costs.
Why A: Using Spot Instances for fault-tolerant and stateless workloads reduces costs by leveraging unused EC2 capacity, and purchasing Reserved Instances for baseline capacity provides a significant discount for predictable usage; both strategies maintain availability because Spot Instances are suitable for workloads that can handle interruptions, and Reserved Instances guarantee capacity availability. Option B (identifying and terminating idle instances) is not among the best two actions because it does not address the balance between baseline and variable demand, and it could inadvertently affect availability if idle instances are part of a cluster or needed for scaling. Option D (using smaller instance types) may degrade performance and compromise availability. Option E (using a single Availability Zone) reduces fault tolerance and increases the risk of downtime.
Keep practising
More SOA-C02 practice questions
- A company uses an Amazon DynamoDB table with on-demand capacity mode. The table handles a workload with a steady baselin…
- A company uses Amazon CloudWatch Logs to store application logs. The SysOps administrator needs to count the occurrences…
- A SysOps administrator needs to monitor the CPU utilization of an Amazon EC2 instance and send an alert when it exceeds…
- A SysOps administrator needs to monitor the CPU utilization of an Amazon EC2 instance fleet and send an alert when the a…
- A company's security policy requires that all Amazon S3 buckets must have server-side encryption enabled. The SysOps adm…
- A SysOps administrator uses AWS CloudFormation to deploy a stack that includes an Amazon EC2 instance. The administrator…
Last reviewed: Jun 20, 2026
This SOA-C02 practice question is part of Courseiva's free Amazon Web Services certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the SOA-C02 exam.
Question Discussion
Share a tip, memory trick, or ask about the reasoning behind this question. Do not post real exam questions, leaked content, braindumps, or copyrighted exam material. Comments are moderated and may be removed without notice.
Sign in to join the discussion.