Question

Difficulty: EasyCost Allocation Tags

A startup recently launched several Amazon EC2 instances. To track costs by business unit, the team applied a user-defined tag with the key 'Department' and values such as 'Engineering' or 'Marketing' to the instances. However, when they open AWS Cost Explorer, they cannot filter their costs by this new tag. What must the startup do to ensure this user-defined tag appears in their billing reports and Cost Explorer?

  1. Activate the 'Department' tag in the Billing and Cost Management console.Answer
  2. B
    Create an AWS Resource Group for the tagged instances and assign an IAM policy to allow billing access.
  3. C
    Configure an AWS Budgets alert referencing the 'Department' tag to force-synchronize the metadata.
  4. D
    Wait for the next monthly billing cycle to end, as user-defined tags automatically apply retroactively to historical billing data.

Answer

Activate the 'Department' tag in the Billing and Cost Management console.
After applying user-defined tags to AWS resources, they must be manually activated in the Billing and Cost Management console before they can be used for cost allocation tracking in reports or tools like AWS Cost Explorer.

Step-by-Step Solution

1
Identify the type of tag being used.
The tag is a user-defined cost allocation tag ('Department').
Different activation rules apply to AWS-generated tags versus user-defined tags, but both require activation to show up in billing.
2
Determine the necessary administrative step to expose the tag to billing tools.
The tag must be activated in the Billing and Cost Management console.
AWS does not automatically include user-defined tags in billing reports or Cost Explorer until they are activated by an administrator.

Key Concept

Activation of Cost Allocation Tags
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