AWS Certified Cloud Practitioner (CLF-C02) — Question 375

Which AWS resource can help a company reduce its costs in exchange for a usage commitment when using Amazon EC2 instances?

Answer options

Correct answer: A

Explanation

Compute Savings Plans offer significant discounts on Amazon EC2 usage in exchange for a commitment to a consistent amount of compute usage for a 1- or 3-year term. On-Demand Instances charge standard rates without any commitment, while Auto Scaling groups scale capacity dynamically rather than offering billing discounts. EC2 instance stores provide temporary block-level storage for instances and do not affect pricing structures.