350-501 Architecture Practice Question
A service provider needs to offer L3VPN services to multiple customers, each with overlapping IP addresses. The provider plans to use MPLS VPNs with VRFs. Which statement is TRUE regarding the configuration of VRFs on the PE routers?
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
✓
Route targets (RTs) are used to control the import and export of VPNv4 routes between VRFs
Route targets (RTs) are used on PE routers to control which VPNv4 routes are imported into a VRF and which routes from a VRF are exported to MP-BGP. This allows proper segregation and connectivity for MPLS L3VPNs. Option A is incorrect because VRF-to-CE routing can use any protocol, not just OSPF. Option C is incorrect because MPLS labels are automatically assigned per VRF by the router, not manually per prefix. Option D is incorrect because the route distinguisher (RD) only needs to be unique per VRF on a single PE router; it can be the same across different PE routers if the RTs are configured correctly.
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 VRF must run OSPF to exchange routes with the CE router
Why it's wrong here
VRF can use static, BGP, or OSPF; OSPF is optional.
- ✓
Route targets (RTs) are used to control the import and export of VPNv4 routes between VRFs
Why this is correct
RTs determine which VRFs receive which routes, allowing overlapping addresses.
- ✗
MPLS labels are assigned per prefix inside a VRF by manual configuration
Why it's wrong here
Labels are automatically assigned by LDP or SR, not manually per prefix.
- ✗
Each VRF must have a unique route distinguisher across the entire provider network
Why it's wrong here
RDs need to be unique locally to a PE, but duplicate RDs across different PEs are allowed if VPN route targets handle separation.
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Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
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