The correct answer is that the CloudFormation stack is using a service role that lacks the iam:CreateRole permission. Even though the IAM user has AdministratorAccess attached, CloudFormation will delegate resource creation to a specified service role if one is provided in the stack configuration. If that service role does not include iam:CreateRole in its permissions policy, the API call fails with the "not authorized" error, because the service role—not the user—is making the actual IAM call. On the AWS Certified Developer Associate DVA-C02 exam, this question tests your understanding of CloudFormation’s service role delegation model, a common trap where candidates assume a user’s admin policy covers all stack operations. The key distinction is that CloudFormation can act as a proxy: the user’s permissions only matter for passing the role, not for the role’s own actions. Memory tip: "Service role, not user role—permissions follow the actor, not the admin."
DVA-C02 Troubleshooting and Optimization Practice Question
This DVA-C02 practice question tests your understanding of troubleshooting and optimization. The scenario asks you to isolate a root cause — eliminate options that address a different problem before choosing. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
A developer is using AWS CloudFormation to deploy a stack. The stack creation fails with the error 'API: iam:CreateRole User: arn:aws:iam::123456789012:user/DevUser is not authorized to perform: iam:CreateRole'. The developer is using an IAM user with AdministratorAccess policy attached. What is the MOST likely cause of this error?
Clue words in this question
Noticing these words before you look at the options changes how you read each choice.
Clue: "most likely"
Why it matters: Probability qualifier — the question wants the most probable cause or outcome, not a guaranteed one. Eliminate low-probability options.
Why wrong: The error message is about authorization, not resource limits.
B
The CloudFormation stack is using a service role that does not have iam:CreateRole permission.
If a service role is used, CloudFormation assumes that role to create resources. If the role lacks permissions, the operation fails.
C
The CloudFormation stack is being created in a region where IAM is not supported.
Why wrong: IAM is supported in all regions.
D
The AdministratorAccess policy has been modified to remove IAM permissions.
Why wrong: If the policy had been modified, the user would not have IAM permissions, but the error specifically says the user is not authorized, which could be due to the service role.
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
The CloudFormation stack is using a service role that does not have iam:CreateRole permission.
Option D is correct because CloudFormation uses a service role to create resources if a service role is specified. If the service role does not have the necessary permissions, the stack creation will fail even if the user has full permissions. Option A (region issue) is not relevant. Option B (resource limit) would give a limit exceeded error. Option C (policy version) would not cause this specific error.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
✗
The account has reached the IAM role limit.
Why it's wrong here
The error message is about authorization, not resource limits.
✓
The CloudFormation stack is using a service role that does not have iam:CreateRole permission.
Why this is correct
If a service role is used, CloudFormation assumes that role to create resources. If the role lacks permissions, the operation fails.
Clue confirmation
The clue word "most likely" in the question point toward this answer.
Related concept
Read the scenario before looking for a memorised answer.
✗
The CloudFormation stack is being created in a region where IAM is not supported.
Why it's wrong here
IAM is supported in all regions.
✗
The AdministratorAccess policy has been modified to remove IAM permissions.
Why it's wrong here
If the policy had been modified, the user would not have IAM permissions, but the error specifically says the user is not authorized, which could be due to the service role.
Common exam traps
Common exam trap: answer the scenario, not the keyword
Many certification questions include familiar terms but test a specific constraint. Read the exact wording before choosing an answer that is generally true but wrong for this case.
Detailed technical explanation
How to think about this question
This question should be treated as a scenario, not a definition check. Identify the problem, the constraint and the best action. Then compare each option against those facts.
KKey Concepts to Remember
Read the scenario before looking for a memorised answer.
Find the constraint that changes the correct option.
Eliminate answers that are true in general but not in this case.
Use explanations to understand the rule behind the answer.
TExam Day Tips
→Underline the problem statement mentally.
→Watch for words such as best, first, most likely and least administrative effort.
→Review why wrong options are wrong, not only why the correct option is correct.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Real-world example
How this comes up in practice
A company's IT admin needs to give a contractor read-only access to production logs without sharing account credentials. Using role-based access control (RBAC) and temporary scoped permissions — not a permanent shared password — is the correct pattern. Questions like this test whether you can apply least-privilege access across cloud identity services.
What to study next
Got this wrong? Here's your next step.
Identify which DVA-C02 exam domain this question belongs to, then review the specific concept being tested. Practise related questions in that domain and focus on understanding why each wrong answer is tempting — not just why the correct answer is right.
Troubleshooting and Optimization — This question tests Troubleshooting and Optimization — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: The CloudFormation stack is using a service role that does not have iam:CreateRole permission. — Option D is correct because CloudFormation uses a service role to create resources if a service role is specified. If the service role does not have the necessary permissions, the stack creation will fail even if the user has full permissions. Option A (region issue) is not relevant. Option B (resource limit) would give a limit exceeded error. Option C (policy version) would not cause this specific error.
What should I do if I get this DVA-C02 question wrong?
Identify which DVA-C02 exam domain this question belongs to, then review the specific concept being tested. Practise related questions in that domain and focus on understanding why each wrong answer is tempting — not just why the correct answer is right.
Are there clue words in this question I should notice?
Yes — watch for: "most likely". Probability qualifier — the question wants the most probable cause or outcome, not a guaranteed one. Eliminate low-probability options.
What is the key concept behind this question?
Read the scenario before looking for a memorised answer.
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