SAP-C02 Question #775: Real Exam Question with Answer & Explanation

Question

A company needs to optimize the cost of an AWS environment that contains multiple accounts in an organization in AWS Organizations. The company conducted cost optimization activities 3 years ago and purchased Amazon EC2 Standard Reserved Instances that recently expired. The company needs EC2 instances for 3 more years. Additionally, the company has deployed a new serverless workload. Which strategy will provide the company with the MOST cost savings?

Options

• APurchase the same Reserved Instances for an additional 3-year term with All Upfront payment.
• BPurchase a 1-year Compute Savings Plan with No Upfront payment in each member account.
• CPurchase a 3-year EC2 Instance Savings Plan with No Upfront payment in the management
• DPurchase a 3-year EC2 Instance Savings Plan with All Upfront payment in each member account.

Explanation

The company needs to renew commitments for Amazon EC2 instances for 3 more years, seeking the most significant cost savings after their previous 3-year Standard Reserved Instances expired.

Common mistakes.

• B. A 1-year term offers lower discounts than a 3-year term, and No Upfront payment provides less savings than All Upfront.
• C. No Upfront payment offers less savings than All Upfront, reducing the overall cost optimization compared to the best payment option.
• D. While a 3-year EC2 Instance Savings Plan with All Upfront offers good savings, Standard Reserved Instances for specific usage often provide slightly higher maximum discounts when applicable.

Concept tested. EC2 cost optimization strategies (Reserved Instances vs Savings Plans)

Reference. https://aws.amazon.com/ec2/pricing/reserved-instances/

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