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Domain 1.1: Logging and MonitoringCost ManagementGovernanceTags

AZ-305 · Question 08 · Domain 1.1: Logging and Monitoring

Your enterprise has a monthly Azure spend of $200,000 across 40 subscriptions. The finance department requires strict cost allocation back to 5 different business units.

You need to design a cost management strategy that ensures all deployed resources are properly categorized for chargeback, and that business unit owners are notified if their specific spending exceeds predefined monthly limits.

Which TWO actions should you include in your design? (Select TWO)

Answer options:

A.

Implement Azure Policy to enforce a 'CostCenter' tag on all resources.

B.

Create Azure Budgets scoped to the 'CostCenter' tag values.

C.

Implement Azure Blueprints to lock resource creation by cost.

D.

Configure Azure Advisor cost recommendations to send alerts.

E.

Create a separate billing profile for each business unit.

How to approach this question

Look for the mechanism to categorize resources (Tags via Policy) and the mechanism to alert on spend (Budgets).

Full Answer

To enable accurate chargeback, resources must be consistently tagged. Azure Policy can enforce the presence of a 'CostCenter' tag on all resources. Once tagged, Azure Cost Management allows you to create Budgets scoped specifically to those tag values, triggering alerts to the respective business unit owners when spending thresholds are met.

Common mistakes

Thinking Azure Advisor handles budget alerts. Advisor is for cost *optimization* (finding waste), not budget enforcement.

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