Answer: AWS Budgets

## Explanation **AWS Budgets** is the correct answer because it provides both cost tracking and alerting capabilities: - **Cost Tracking**: AWS Budgets allows you to set custom budgets that track your AWS costs and usage - **Event-Driven Alerts**: You can configure budget alerts to notify you via email or SNS when your costs exceed predefined thresholds - **Proactive Monitoring**: Unlike other tools that provide historical reporting, AWS Budgets enables proactive cost management ### Comparison with other options: - **AWS Cost Explorer**: Provides historical cost analysis and visualization, but lacks real-time alerting capabilities - **Cost allocation tags**: Helps organize and categorize costs, but doesn't provide alerting functionality - **AWS Cost and Usage Reports**: Offers detailed billing data for analysis, but doesn't include built-in alerting features AWS Budgets is specifically designed for setting cost thresholds and receiving notifications when those thresholds are breached, making it the ideal solution for the described requirements.

Author: Ritesh Yadav