Question

Difficulty: MediumEstimating GCP Costs with the Pricing Calculator

A cloud administrator uses the Google Cloud Pricing Calculator to estimate monthly operational expenses for a custom Compute Engine instance running continuously for 730 hours in a billing month. The instance is configured with 44 vCPUs (billed at $0.04\$0.04 per vCPU-hour) and 16 GB16\text{ GB} of RAM (billed at $0.005\$0.005 per GB-hour). Because the workload runs non-stop, Google Cloud automatically applies a Sustained Use Discount (SUD) of 20%20\% to the combined vCPU and memory compute charges. What is the net estimated monthly compute cost in USD for this instance?

Answer: 140.16 USD

Answer

The net estimated monthly compute cost for the instance is $140.16.
The base vCPU cost is 4×730×0.04=116.804 \times 730 \times 0.04 = 116.80 USD and the base memory cost is 16×730×0.005=58.4016 \times 730 \times 0.005 = 58.40 USD, yielding an un-discounted compute subtotal of 175.20175.20 USD. Applying the 20%20\% Sustained Use Discount to the full compute subtotal gives a net cost of 175.20×0.80=140.16175.20 \times 0.80 = 140.16 USD.

Step-by-Step Solution

1
Calculate un-discounted vCPU cost
$116.80
Multiply 4 vCPUs by 730 hours and the vCPU hourly rate of $0.04.
2
Calculate un-discounted memory cost
$58.40
Multiply 16 GB of RAM by 730 hours and the memory hourly rate of $0.005.
3
Sum total un-discounted compute costs
$175.20
Combine vCPU charges (116.80)andmemorycharges(116.80) and memory charges ( 58.40).
4
Apply Sustained Use Discount (SUD)
$140.16
Multiply total compute charges by 0.80 to factor in the 20% automated discount for sustained execution.

Key Concept

Estimating monthly Compute Engine costs incorporating automatic Sustained Use Discounts (SUD) for vCPU and RAM usage.
Estimated Time:1m 30s
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