350-501 Architecture Practice Question
A service provider is redesigning its MPLS core to support both L3VPN and L2VPN services. They want to minimize the number of labels in the forwarding table while maintaining per-VRF label allocation. Which label allocation mode should be used for the L3VPN service?
⚠ Common exam trap
Cisco often tests the distinction between per-VRF and per-prefix label allocation, where candidates mistakenly choose per-prefix because they think it offers finer granularity, but the question explicitly asks for minimizing labels, which per-VRF achieves.
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Per-VRF label allocation
Per-VRF label allocation assigns a single MPLS label per VRF, meaning all routes within a VRF share the same label. This minimizes the number of labels in the forwarding table compared to per-prefix allocation, while still maintaining per-VRF isolation for L3VPN services. It is the recommended mode when the goal is to reduce label consumption without sacrificing VPN separation.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✓
Per-VRF label allocation
Why this is correct
Per-VRF assigns a single label per VRF, minimizing labels while allowing per-VRF forwarding.
- ✗
Per-CE label allocation
Why it's wrong here
Per-CE assigns a label per CE router, which is more than per-VRF.
- ✗
Per-prefix label allocation
Why it's wrong here
Per-prefix assigns a label per route, increasing label table size.
- ✗
Per-instance label allocation
Why it's wrong here
Per-instance is not a standard MPLS VPN label allocation mode.
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Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
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