Cloud Digital Leader How Google Cloud Resources Are Managed Practice Question

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

• ✓

  Link the Google Workspace account to the organization node

  Why this is correct

  The organization node is the root of the Google Cloud resource hierarchy and is automatically provisioned when you set up Google Workspace or Cloud Identity — it is never created manually. Simply having the Workspace/Identity tenant is not enough; you must explicitly link it to the organization node in the Google Cloud console. This action establishes the trust relationship that enables organization-level IAM policies, resource constraints, and audit logging across all current and future projects. Until this link is made, you do not have an operational root node to attach folders or projects to, so this is the correct first step.

• ✗

  Create a project for each business unit

  Why it's wrong here

  Projects are leaf-level containers that hold resources such as VMs, buckets, and services; they cannot contain folders or other projects. If you create one project per business unit, you flatten your hierarchy and lose the ability to group projects under a higher-level node for shared IAM or policy inheritance. A business unit with multiple workloads would require multiple projects, but there would be no folder to group them together. This approach makes it harder to manage permissions, quotas, and billing across the organization, and it does nothing to set up the required organization root.

• ✗

  Create a folder for each business unit

  Why it's wrong here

  Folders are indeed the correct construct for grouping projects by business unit, but they only exist beneath an organization node. In Google Cloud, you cannot create a folder at the root of your hierarchy unless an organization node has already been linked to your Workspace or Cloud Identity account. Attempting to create a folder before that link exists will fail because there is no parent container in the hierarchy. Therefore, while folders are part of the intended final structure, they are a later step and not the initial action required here.

• ✗

  Enable the Cloud Resource Manager API

  Why it's wrong here

  The Cloud Resource Manager API provides programmatic access to manage projects, folders, and organization resources, but enabling it has no effect on whether an organization node exists. In fact, this API is enabled by default for all projects, and you can still use the Google Cloud console without it. The organization node is created solely as a result of Google Workspace or Cloud Identity setup, not from an API toggle. So this action neither replaces nor supports the linking step that is required to establish the organization root.

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