Cloud Cost Management for Public Cloud Environments | Finance Department Solutions

Identifying Cloud Costs in a Shared Public Cloud Environment | Finance Department

Question

Which of the following can be used by a client's finance department to identify the cost of cloud use in a public cloud environment shared by different projects and departments?

Answers

Explanations

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A. B. C. D.

C.

The correct answer is C. Resource tagging.

Resource tagging is a labeling technique used to track and manage cloud resources. It allows users to assign metadata to resources such as instances, volumes, and snapshots, making it easier to identify and organize them. Resource tags can include information such as the resource owner, department, project name, and cost center.

By using resource tagging, a client's finance department can identify the cost of cloud use in a public cloud environment shared by different projects and departments. The finance department can tag resources with a unique identifier that corresponds to the project or department using the resource. Then, the finance department can use these tags to generate reports and track usage and costs associated with each project or department.

Reserved instances (option A) are a billing model offered by cloud service providers (CSPs) that provide discounts for committing to use a specific amount of resources over a defined period. Reserved instances can be a way to save costs but may not necessarily be relevant to identifying costs across different projects and departments.

Service level agreements (option B) define the level of service that the CSP will provide and may include metrics such as uptime and performance guarantees. While SLAs are important for managing the quality of service, they do not provide information on costs.

An RFI (Request for Information) from the CSP (option D) is a formal request for information about the CSP's services, capabilities, and pricing. While an RFI can provide information about pricing, it is not the most practical approach for identifying costs across different projects and departments.

In conclusion, resource tagging (option C) is the most appropriate option for identifying the cost of cloud use in a public cloud environment shared by different projects and departments.