AWS Certified Cloud Practitioner (CLF-C02) — Question 440

A company is moving some of its on-premises IT services to the AWS Cloud. The finance department wants to see the entire bill so it can forecast spending limits.

Which AWS service can the company use to set spending limits and receive notifications if those limits are exceeded?

Answer options

• A. AWS Cost and Usage Reports
• B. AWS Budgets
• C. AWS Organizations consolidated billing
• D. Cost Explorer

Correct answer: B

Explanation

AWS Budgets allows users to set custom spending limits and configure alerts that trigger when costs or usage exceed, or are forecasted to exceed, those defined thresholds. AWS Cost and Usage Reports and Cost Explorer are designed for detailed reporting and historical visualization rather than proactive alerting. AWS Organizations consolidated billing aggregates billing across multiple accounts but does not inherently manage budget alerts.