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Cloud Digital Leader Scaling with Google Cloud operations Practice Question

A company uses committed use discounts (CUDs) for its production workload baseline. An engineer proposes also using sustained use discounts (SUDs) for the same VMs. Why is this incorrect?

⚠ Common exam trap

Test-takers frequently assume discounts are additive or combinable, similar to how some cloud providers allow stacking, but Google Cloud explicitly makes CUDs and SUDs mutually exclusive to prevent double-discounting.

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

CUDs and SUDs are mutually exclusive: VMs already covered by committed use discounts don't accrue sustained use discounts — you receive only the CUD, not both

Committed use discounts (CUDs) and sustained use discounts (SUDs) are mutually exclusive on the same VM. When a VM is covered by a CUD, it does not accrue SUDs; only the CUD discount is applied. This prevents double-discounting and ensures billing consistency.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • CUDs and SUDs can be combined on the same VMs — applying both gives the maximum possible discount

    Why it's wrong here

    CUDs and SUDs are mutually exclusive for the same VM usage; a VM covered by a committed use discount does not accrue sustained use discounts during that coverage period. CUDs are a pre-purchased commitment that replaces the on-demand rate for the committed resources, whereas SUDs are a usage-based discount that only applies to on-demand VMs without an applicable commitment. Therefore, you cannot receive both discounts on the same VM-hour, and the idea that combining them yields the maximum possible discount is incorrect. Google's billing engine applies only the better-fitting discount, not both.

  • CUDs and SUDs are mutually exclusive: VMs already covered by committed use discounts don't accrue sustained use discounts — you receive only the CUD, not both

    Why this is correct

    This is correct. CUDs are pre-purchased commitments that replace (not supplement) the SUD credit system. When a CUD commitment covers compute usage, that usage is billed at the CUD rate, not the on-demand rate that would otherwise accumulate SUD credits. Stacking is not possible.

  • SUDs cannot be applied to production workloads — they are only available for development environments

    Why it's wrong here

    Sustained use discounts (SUDs) are applied automatically to all on-demand Compute Engine VMs that run for more than 25% of a billing month, with no distinction between development and production workloads. The discount is based purely on the cumulative usage of the VM during the month, not on any environment label, project tag, or workload type. Therefore, production VMs are just as eligible for SUDs as development VMs, making this statement incorrect. Google Cloud does not restrict SUDs to non-production environments.

  • Applying both CUDs and SUDs creates a billing conflict that could result in Google charging the company more than on-demand pricing

    Why it's wrong here

    There is no billing conflict between committed use discounts (CUDs) and sustained use discounts (SUDs); they operate independently rather than interactively. When a VM is covered by a CUD commitment, that usage is billed at the committed rate and does not accumulate SUD, but any usage outside the commitment remains on-demand and may automatically earn SUD. Google's billing system simply applies the applicable discount—CUD for committed resources and SUD for residual on-demand usage—never stacking them. It is impossible for the combination to result in a charge higher than the standard on-demand price, so the premise of a cost-increasing conflict is false.

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