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CLF-C02 Practice Question 2: Cloud Economics

AWS Certified Cloud Practitioner (CLF-C02) · Test 1 · question 2 of 10

Cloud Conceptseasy

A startup is deciding between buying servers for its own data center and running the same workload on AWS. On AWS it would make no upfront hardware purchase and would pay only for the compute it actually consumes each hour. Which advantage of cloud computing does this describe?

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Answer:

  • B. Trade fixed expense for variable expense

AWS lists six advantages of cloud computing. Trading fixed expense for variable expense is exactly the shift described here: instead of investing capital in data centers and servers before knowing how they will be used, the startup pays only when it consumes computing resources, and only for how much it consumes.

Option A, economies of scale, is about AWS aggregating usage from hundreds of thousands of customers to achieve lower pay-as-you-go prices, a real benefit, but the stem says nothing about lower unit prices. Option C, stop guessing capacity, is about scaling up and down instead of over- or under-provisioning; the stem describes the payment model, not capacity planning. Option D, go global in minutes, is about deploying in multiple Regions to reduce latency for customers, which the scenario does not mention.

Reference: Six advantages of cloud computing

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