Which of the following are the characteristics and benefits of using these two types of Reserved EC2 instances?

A company conducted a surprise IT audit on all of the AWS resources being used in the production environment. During the audit activities, it was noted that you are using a combination of Standard and Convertible Reserved EC2 instances in your applications.

Which of the following are the characteristics and benefits of using these two types of Reserved EC2 instances? (Select TWO.)
A . Unused Convertible Reserved Instances can later be sold at the Reserved Instance Marketplace.
B . It runs in a VPC on hardware that’s dedicated to a single customer.
C . Convertible Reserved Instances allow you to exchange for another convertible reserved instance of a different instance family.
D . It can enable you to reserve capacity for your Amazon EC2 instances in multiple Availability Zones and multiple AWS Regions for any duration.
E . Unused Standard Reserved Instances can later be sold at the Reserved Instance Marketplace.

View Answer

Answer: C,E

Explanation:

Reserved Instances (RIs) provide you with a significant discount (up to 75%) compared to On-Demand instance pricing. You have the flexibility to change families, OS types, and tenancies while benefiting from RI pricing when you use Convertible RIs. One important thing to remember here is that Reserved Instances are not physical instances, but rather a billing discount applied to the use of On-Demand Instances in your account.

The offering class of a Reserved Instance is either Standard or Convertible. A Standard Reserved Instance provides a more significant discount than a Convertible Reserved Instance, but you can’t exchange a Standard Reserved Instance unlike Convertible Reserved Instances. You can modify Standard and Convertible Reserved Instances. Take note that in Convertible Reserved Instances, you are allowed to exchange another Convertible Reserved instance with a different instance type and tenancy.

The configuration of a Reserved Instance comprises a single instance type, platform, scope, and tenancy over a term. If your computing needs change, you might be able to modify or exchange your Reserved Instance.

When your computing needs change, you can modify your Standard or Convertible Reserved Instances and continue to take advantage of the billing benefit. You can modify the Availability Zone, scope, network platform, or instance size (within the same instance type) of your Reserved Instance. You can also sell your unused instance for Standard RIs but not Convertible RIs on the Reserved Instance Marketplace.

Hence, the correct options are:

– Unused Standard Reserved Instances can later be sold at the Reserved Instance Marketplace.

– Convertible Reserved Instances allow you to exchange for another convertible reserved instance of a different instance family.

The option that says: Unused Convertible Reserved Instances can later be sold at the Reserved Instance Marketplace is incorrect. This is not possible. Only Standard RIs can be sold at the Reserved Instance Marketplace.

The option that says: It can enable you to reserve capacity for your Amazon EC2 instances in multiple Availability Zones and multiple AWS Regions for any duration is incorrect because you can reserve capacity to a specific AWS Region (regional Reserved Instance) or specific Availability Zone (zonal Reserved Instance) only. You cannot reserve capacity to multiple AWS Regions in a single RI purchase. The option that says: It runs in a VPC on hardware that’s dedicated to a single customer is incorrect because that is the description of a Dedicated instance and not a Reserved Instance. A Dedicated instance runs in a VPC on hardware that’s dedicated to a single customer.

References: https://docs.aws.amazon.com/AWSEC2/latest/UserGuide/ri-modifying.html https://aws.amazon.com/ec2/pricing/reserved-instances/ https://docs.aws.amazon.com/AWSEC2/latest/UserGuide/ec2-reserved-instances.html https://docs.aws.amazon.com/AWSEC2/latest/UserGuide/reserved-instances-types.html Amazon EC2 Overview:

https://youtu.be/7VsGIHT_jQE

Check out this Amazon EC2 Cheat Sheet: https://tutorialsdojo.com/amazon-elastic-compute-cloud-amazon-ec2/