350-501 Architecture Practice Question
Which three are benefits of using MPLS Layer 3 VPNs over traditional VPNs? (Choose three.)
⚠ Common exam trap
Cisco often tests the misconception that MPLS VPNs are cheaper than traditional VPNs, but the trap here is that while MPLS reduces operational overhead for the provider, the hardware and licensing costs are typically higher, so 'lower cost' is not a guaranteed benefit.
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
✓
Scalability
MPLS Layer 3 VPNs use a full-mesh of MP-BGP sessions between Provider Edge (PE) routers to exchange VPNv4 routes, which allows the network to scale to thousands of VPNs and customers without requiring a full mesh of tunnels. This is far more scalable than traditional VPNs that rely on point-to-point tunnels (e.g., IPsec or GRE) which create an O(n²) problem for connectivity.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✓
Scalability
Why this is correct
MPLS L3VPNs can scale to thousands of VPNs.
- ✓
Support for multiple services
Why this is correct
MPLS L3VPN supports multicast, QoS, etc.
- ✗
Lower cost
Why it's wrong here
Cost depends on infrastructure; not inherently lower.
- ✗
Reduced security
Why it's wrong here
Security is not reduced; VPNs provide isolation.
- ✓
Simplified routing
Why this is correct
Customer sites do not need to run a routing protocol with each other.
Quick reference
VPN Protocol Comparison
| Protocol | Port | Encryption | Authentication | Use Case |
|---|---|---|---|---|
| IKEv2 / IPsec | UDP 500 / 4500 | AES-256 | Certificates / PSK | Site-to-site & remote access |
| SSL / TLS VPN | TCP 443 | TLS 1.3 | Certificates / MFA | Clientless remote access |
| L2TP / IPsec | UDP 1701 | AES (IPsec) | PSK / Certificates | Legacy remote access |
| WireGuard | UDP 51820 | ChaCha20 | Public keys | Modern high-performance VPN |
| PPTP | TCP 1723 | MPPE (weak) | MS-CHAPv2 | Legacy — avoid in production |
PPTP is considered insecure. IKEv2/IPsec and SSL VPN are the current recommended options.
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Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
This 350-501 practice question is part of Courseiva's free Cisco certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the 350-501 exam.