Which EC2 pricing model is best for applications with steady-state usage that can commit to a 1 or 3-year term to receive a significant discount?

Direct Answer (Verified)Reviewed by Sunny (Senior Cloud Engineer)

Correct Answer: Reserved Instances (or Savings Plans)

Reserved Instances provide capacity reservations and discounts in exchange for a term commitment....

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Real Exam ScenarioAmazon EC2

Which EC2 pricing model is best for applications with steady-state usage that can commit to a 1 or 3-year term to receive a significant discount?

✓ Correct Answer & ExplanationAmazon EC2

Correct Answer

Reserved Instances (or Savings Plans)

Why This Answer Is Correct

Reserved Instances provide capacity reservations and discounts in exchange for a term commitment.

📚 What This Question Tests

This question evaluates your knowledge of Amazon EC2 — a core concept tested in AWS Certified Cloud Practitioner (CLF-C02). Understanding Amazon EC2 is essential for designing scalable, secure, and cost-effective cloud architectures. Mastery of this topic will help you answer scenario-based questions confidently on exam day.

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More Amazon EC2 Practice Questions

Your application requires high CPU performance for compute-intensive workloads like video encoding. Which Amazon EC2 instance type is optimized for this?

What does Amazon EC2 stand for?

Which EC2 pricing model allows you to bid on spare AWS compute capacity for up to a 90% discount, but instances can be terminated by AWS with a 2-minute notice?

What is an 'Amazon Machine Image' (AMI)?

Which EC2 instance type is best suited for workloads that require high memory capacity, such as high-performance databases?

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