Microsoft Azure Fundamentals (AZ-900)Describe Azure management and governanceEasy

A startup is using Azure for its development and testing environments. They want to set up an alert that notifies them when their monthly Azure consumption for a specific resource group exceeds a predefined limit. Which feature of Azure Cost Management + Billing should they use?

  1. ACost Analysis
  2. BInvoices
  3. CBudgets
  4. DCost Alerts
Show answer & explanation

Correct answer: C. Budgets

Azure Budgets within Azure Cost Management + Billing allow you to set spending thresholds and receive alerts when actual or forecasted spending exceeds those thresholds. This directly addresses the need for notifications on exceeding a predefined monthly limit.

Why the other options are wrong

  • A. Cost Analysis provides interactive dashboards to analyze costs but doesn't set limits or trigger alerts based on thresholds.
  • B. Invoices provide historical billing details but do not offer proactive alerting or budget setting features.
  • D. While Azure does have cost alerts, they are typically configured as part of a Budget, making 'Budgets' the more comprehensive and correct answer for setting and monitoring a predefined limit.

Azure Budgets

A feature of Azure Cost Management + Billing that allows users to create spending thresholds and receive notifications or trigger automated actions when those thresholds are met or exceeded.

  • Sets spending limits for subscriptions or resource groups.
  • Provides alerts for actual and forecasted costs.
  • Helps control and optimize cloud spending.

Memory trick: Keep your wallet closed, watch the spend, get alerts.

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