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By @dpascoa

Describe cost management in Azure

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Questions and Answers

Which cloud payment model allows you to pay for the resources that you use during a billing cycle?

Consumption Pay-as-you-go

What does it mean to reserve capacity in Azure?

Commit to using a set amount of cloud resources in advance and receive discounts

What factor determines the cost of some Azure services related to network traffic?

Billing zones

What does the Azure Marketplace offer?

<p>Azure-based solutions and services from third-party vendors</p> Signup and view all the answers

According to the text, how many sets of virtual machines (VMs) are being run in each bank?

<p>Two sets</p> Signup and view all the answers

According to the text, how many TB of disk storage are there in the storage area network (SAN)?

<p>60 TB</p> Signup and view all the answers

According to the text, how much outbound network bandwidth is estimated to be consumed each month?

<p>15 TB</p> Signup and view all the answers

According to the text, how many rows are created in the TCO Calculator for the bank of Linux VMs?

<p>Two rows</p> Signup and view all the answers

Which of the following is NOT a purpose of resource tags in Azure?

<p>Data classification</p> Signup and view all the answers

How can resource tags be managed in Azure?

<p>All of the above</p> Signup and view all the answers

Do resources inherit tags from subscriptions and resource groups in Azure?

<p>No</p> Signup and view all the answers

What is the purpose of using Azure Policy for resource tags?

<p>To enforce tagging rules and conventions</p> Signup and view all the answers

Which factors can impact the cost of Azure resources?

<p>Resource type, settings for the resource, and Azure region</p> Signup and view all the answers

What are some factors to consider when provisioning a virtual machine in Azure?

<p>Licensing for the operating system or other software, processor and number of cores for the VM, attached storage, and network interface</p> Signup and view all the answers

How does Azure shift development costs from capital expense to operational expense?

<p>By renting infrastructure as you need it</p> Signup and view all the answers

Which calculator is designed to help you compare the costs for running an on-premises infrastructure compared to an Azure Cloud infrastructure?

<p>TCO calculator</p> Signup and view all the answers

What is the purpose of the Pricing calculator?

<p>To estimate the cost of provisioning resources in Azure</p> Signup and view all the answers

What can you estimate the cost of using the Pricing calculator?

<p>Provisioned resources including compute, storage, and associated network costs</p> Signup and view all the answers

What is the focus of the TCO calculator?

<p>The cost of running an on-premises infrastructure</p> Signup and view all the answers

Which of the following is a feature of Cost Management in Azure?

<p>Ability to quickly check Azure resource costs</p> Signup and view all the answers

What is the purpose of Cost Analysis in Cost Management?

<p>To explore and analyze organizational costs</p> Signup and view all the answers

What are the three types of alerts that may show up in Cost Management?

<p>Budget alerts, credit alerts, and department spending quota alerts</p> Signup and view all the answers

What is the purpose of a budget in Cost Management?

<p>To set a spending limit for Azure</p> Signup and view all the answers

According to the text, how many virtual machines are being used in the basic web application configuration?

<p>Two virtual machines</p> Signup and view all the answers

How many hours per month do the virtual machines and the database run in the basic web application configuration?

<p>730 hours</p> Signup and view all the answers

What is the estimated monthly network data processed by the basic web application?

<p>1 TB</p> Signup and view all the answers

According to the text, how much storage is required for the database in the basic web application configuration?

<p>32 GB</p> Signup and view all the answers

According to the text, how many virtual machines (VMs) are being run in each bank?

<p>50</p> Signup and view all the answers

What is the estimated outbound network bandwidth consumption per month?

<p>15 TB</p> Signup and view all the answers

How many rows are created in the TCO Calculator for the bank of Linux VMs?

<p>2</p> Signup and view all the answers

What is the total disk storage capacity of the storage area network (SAN)?

<p>60 TB</p> Signup and view all the answers

Which factors can impact the cost of Azure resources?

<p>All of the above</p> Signup and view all the answers

What are some factors to consider when provisioning a virtual machine in Azure?

<p>All of the above</p> Signup and view all the answers

How does Azure shift development costs from capital expense to operational expense?

<p>By renting infrastructure as you need it</p> Signup and view all the answers

Which payment model in Azure allows you to pay for the resources that you use during a billing cycle?

<p>Consumption Pay-as-you-go</p> Signup and view all the answers

What is the purpose of reserving capacity in Azure?

<p>To receive discounts on cloud resources</p> Signup and view all the answers

What factor determines the cost of some Azure services related to network traffic?

<p>Billing zones</p> Signup and view all the answers

What is the purpose of the Azure Marketplace?

<p>To purchase Azure-based solutions and services from third-party vendors</p> Signup and view all the answers

Which of the following is NOT a type of alert that may show up in Cost Management?

<p>Usage alerts</p> Signup and view all the answers

What is the purpose of Credit alerts in Cost Management?

<p>To notify you when your Azure credit monetary commitments are consumed</p> Signup and view all the answers

What is the purpose of Department spending quota alerts in Cost Management?

<p>To notify you when department spending reaches a fixed threshold of the quota</p> Signup and view all the answers

What is the purpose of Cost alerts in Cost Management?

<p>To notify you when spending, based on usage or cost, reaches or exceeds the amount defined in the alert condition of the budget</p> Signup and view all the answers

Which of the following is NOT a purpose of resource tags in Azure?

<p>Automating workload optimization</p> Signup and view all the answers

How can resource tags be managed in Azure?

<p>All of the above</p> Signup and view all the answers

What is the purpose of a budget in Cost Management?

<p>To forecast estimated cost</p> Signup and view all the answers

What are some factors to consider when provisioning a virtual machine in Azure?

<p>All of the above</p> Signup and view all the answers

Study Notes

Azure Payment Models and Cost Management

  • The Pay-As-You-Go payment model allows you to pay for the resources you use during a billing cycle.
  • Reserving capacity in Azure allows you to reserve virtual machines, storage, and other resources for a one- or three-year term to reduce costs.
  • The cost of some Azure services related to network traffic is determined by outbound network bandwidth consumption.

Azure Marketplace and Resource Management

  • The Azure Marketplace offers a platform to find, try, and deploy software solutions.
  • Resource tags can be managed in Azure through the Azure portal, Azure CLI, or Azure REST API.
  • Resources do not inherit tags from subscriptions and resource groups in Azure.
  • The purpose of using Azure Policy for resource tags is to enforce consistent tagging across resources.

Cost Estimation and Optimization

  • The Pricing calculator is designed to help compare costs for running an on-premises infrastructure compared to an Azure Cloud infrastructure.
  • The TCO (Total Cost of Ownership) calculator focuses on estimating the total cost of ownership for running a workload in Azure.
  • Factors that can impact the cost of Azure resources include resource usage, location, and pricing model.

Virtual Machine Provisioning and Configuration

  • Factors to consider when provisioning a virtual machine in Azure include the number of virtual machines, machine type, location, and storage requirements.
  • Azure shifts development costs from capital expense to operational expense by providing a pay-as-you-go pricing model.

Cost Management and Alerts

  • Cost Management in Azure provides features such as cost analysis, budgeting, and alerting to help manage costs.
  • The purpose of Cost Analysis in Cost Management is to provide a detailed view of Azure costs and identify areas for optimization.
  • Three types of alerts that may show up in Cost Management are Credit alerts, Department spending quota alerts, and Cost alerts.
  • The purpose of a budget in Cost Management is to set a spending limit for a subscription or resource group.

Case Study Scenario

  • In the basic web application configuration, 2 virtual machines and a database run for 720 hours per month.
  • The estimated monthly network data processed by the basic web application is 100 GB.
  • The database requires 100 GB of storage in the basic web application configuration.
  • Each bank has 2 virtual machines (VMs) and a database.
  • The estimated outbound network bandwidth consumption per month is 100 GB.
  • 12 rows are created in the TCO Calculator for the bank of Linux VMs.
  • The total disk storage capacity of the storage area network (SAN) is 100 TB.

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