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Difficulty: MediumConsolidated Billing and AWS Organizations

A renewable energy company is expanding its operations and wants to consolidate several AWS accounts used by its wind turbine monitoring systems, solar grid analytics team, and corporate offices under a single organization in AWS Organizations. The company wants to optimize its AWS costs and centralize security governance.

Which two of the following statements correctly describe the financial or security governance behaviors of consolidated billing and AWS Organizations in this scenario? (Select TWO.)

  1. AWS aggregates the usage from all member accounts in the organization to qualify for volume pricing discounts on services such as Amazon S3.Answer
  2. B
    Service Control Policies (SCPs) can be used to directly grant administrative access and assign roles to specific IAM users in member accounts.
  3. SCPs (Service Control Policies) can be applied to specify the maximum available permissions for member accounts, establishing security boundaries.Answer
  4. D
    The administrator must share the AWS Account Root User credentials of the management account with all member accounts to allow them to view consolidated bills.
  5. E
    Consolidated billing shifts the organization's AWS costs from an operating expense (OpEx) model to a capital expense (CapEx) model by requiring upfront registration fees.

Answer

The correct answers are the statements explaining that AWS aggregates usage across all member accounts to qualify for volume pricing discounts, and that Service Control Policies (SCPs) can be applied to specify the maximum available permissions for member accounts to establish security boundaries.
The correct options correctly identify the key capabilities of AWS Organizations. First, consolidated billing aggregates the usage across all member accounts within the organization to calculate volume tier discounts. Second, Service Control Policies (SCPs) serve as central security guardrails that set the maximum allowable permissions for member accounts.

Step-by-Step Solution

1
Analyze the financial advantages of AWS Organizations consolidated billing.
Consolidated billing aggregates the volume usage of all member accounts, allowing the organization to benefit from tiered pricing discounts (e.g., lower per-GB costs for Amazon S3 storage).
To identify which options correctly address cost optimization.
2
Evaluate the security and governance mechanisms available in AWS Organizations.
Service Control Policies (SCPs) define permission guardrails at the organization, OU, or account level, setting the maximum permissions that can be exercised by IAM policies within those accounts.
To identify which options correctly address centralizing security governance.
3
Review the remaining distractors to identify misconceptions.
SCPs do not grant permissions; root credentials must never be shared; consolidated billing does not convert OpEx into CapEx.
To eliminate the incorrect options based on core AWS billing and security concepts.

Key Concept

AWS Organizations allows companies to consolidate billing for multiple AWS accounts, enabling volume discounts across the aggregated usage of the entire organization, while using Service Control Policies (SCPs) as permission guardrails to establish security boundaries.
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Topics

Consolidated Billing and AWS Organizations

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