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Compare the plans of Marie and Dean.  Marie takes the following AP classes: AP US History, AP Biology, AP German, AP Calculus, and AP Literature.  Marie does not qualify for financial need based waiver, so she pays (5 x $99) $495.  The tests contain multiple choice questions, along with several free response/long and short essays.  She receives "3's" on AP US History, AP Chemistry and AP Calculus; a "4" on AP German; and a "5" on her AP Literature.

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Dean takes the same classes as Marie to get the GPA boost (or takes the core classes offered by his high school and uses the free study guides before taking the practice tests).  Instead of paying the $495 exam fees, he decides to take the CLEP exams for these classes, at any point during the year.  He receives a fee waiver from Modern States after taking a practice test to make sure he passes with a score of 70%.  He is also free to download the study guides if he needs additional clarification for any of the courses. The tests are primarily multiple choice, and he receives a 55 on Chemistry, Calculus and US History; and a 60 on Literature and German.

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They will both be attending James Madison University.  JMU's AP requirements can be found here, and its CLEP requirements can be found here.   Marie may be able to receive 6 college credit for her German and Literature tests (she needed to have received a "4" on US History, Calculus and Chemistry tests for credit).  Dean may be able to receive general education college credit for all five of his tests (JMU requires an appropriate score of 50 or above), receiving 3 credits for US History, 3 credits for Chemisty, 3 credits for Calculus, 6 credits for German, and 6 credits for Literature, for a total of 21 credits towards the General Education classes.

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In this example, Marie paid $495, and may be able to receive 6 college credits due to her scores. Dean received waivers for CLEP exams and may be able to receive 21 college credits due to his scores--over an entire semester's worth of classes.