Cost-Effective EC2 Pricing for 12-Month Workloads
A company is migrating its on-premises server to an Amazon EC2 instance. The server must stay active at all times for the next 12 months. Which EC2 pricing option is the MOST cost-effective for the company's workload?
Community Votes
100% of anonymous learners picked answer D. Votes are pick records left by other test-takers — they are not the verified answer.
Community Insight
The exam tests your ability to match workload duration with pricing models; the common trap is ignoring the 'active at all times' constraint and selecting Spot Instances despite their interruption risk.
This question evaluates the best EC2 pricing model for a steady-state workload running continuously for one year, establishing Reserved Instances as the optimal choice for significant cost savings.
Candidates often choose Spot Instances (C) because they are the cheapest per-hour option, failing to realize that Spot Instances can be interrupted at any time, violating the requirement for the server to stay active.
Community Discussion (4 comments)
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Expert Analysis
Why the Answer Is Correct
Reserved Instances (D) provide a significant discount (up to 72%) compared to On-Demand pricing for customers who have predictable workloads and can commit to a one- or three-year term. Since the company requires the server to stay active continuously for 12 months, this fits the definition of a steady-state workload perfectly. By reserving capacity and committing to the term, the company secures both the instance type and the availability, ensuring uninterrupted operation while minimizing costs.Why the Other Options Are Wrong
On-Demand instances (A) offer flexibility but charge the highest hourly rate, making them inefficient for long-term, continuous usage. Dedicated Hosts (B) are designed for regulatory compliance or licensing requirements where specific physical servers are needed, not primarily for general cost reduction. Spot Instances (C) offer the lowest prices but come with the risk of interruption when AWS needs the capacity back; they cannot guarantee the 'active at all times' requirement.Community Comment Notes
The community consensus strongly supports Reserved Instances, noting that they offer significant savings for long-duration commitments. One commenter highlighted that by committing to a term, the company benefits from discounted rates compared to On-Demand pricing. Another user simply confirmed there was no doubt about the answer being D, reflecting the clear-cut nature of this scenario.Exam Strategy
Always look for keywords indicating stability and duration ('always on', 'steady-state', '12 months') to identify Reserved Instances. If the keyword is 'interruptible' or 'batch processing', consider Spot Instances. If the keyword is 'flexible' or 'unpredictable', stick with On-Demand.
Frequently Asked Questions
Why not use Spot Instances for a 12-month project?
Spot Instances can be interrupted with only a two-minute warning if AWS needs the capacity. This violates the requirement for the server to stay active at all times.
Are Savings Plans better than Reserved Instances?
Savings Plans are also valid for discounts but are flexible across instance families and regions. However, in this specific multiple-choice context, Reserved Instances are the standard answer for dedicated capacity commitment.
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