The answer is that the developer lacks the `resourcemanager.projects.list` permission at the organization or folder level. This permission is required to enumerate projects across the resource hierarchy, and it is not granted by the Viewer role on individual projects, which only provides read access within those projects themselves. The `gcloud projects list` command queries the resource manager at the organization or folder node, not at the project level, so even if the developer has Viewer on several projects, the command fails because the caller does not have the necessary permission above those projects. On the Google Associate Cloud Engineer exam, this is a common trap: candidates often assume that project-level roles like Viewer are sufficient for listing projects, but the exam tests your understanding that listing is a hierarchical permission. A helpful memory tip is to think of it like a library card catalog—you need permission to see the catalog (the organization) before you can browse individual books (the projects).
Google ACE Setting up a cloud solution environment Practice Question
This ACE practice question tests your understanding of setting up a cloud solution environment. Match the stated requirement to the specific cloud service, access model, or configuration option — many options are valid in isolation but not for this scenario. 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 runs `gcloud projects list` and receives the error: `ERROR: (gcloud.projects.list) PERMISSION_DENIED: The caller does not have permission`. The developer has the Viewer role on several projects. What is the most likely cause?
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.
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
The developer lacks `resourcemanager.projects.list` at the organization or folder level.
The `gcloud projects list` command requires the `resourcemanager.projects.list` permission, which is granted at the organization or folder level, not at the individual project level. Even with the Viewer role on several projects, the developer lacks this specific permission at the resource hierarchy level above the projects, causing the PERMISSION_DENIED 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 developer does not have multi-factor authentication enabled.
Why it's wrong here
MFA state does not cause PERMISSION_DENIED on gcloud commands; it affects login, not API authorization.
✓
The developer lacks `resourcemanager.projects.list` at the organization or folder level.
Why this is correct
Project Viewer only grants permissions within the project. Listing all projects requires the permission at a higher hierarchy level.
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 gcloud SDK is outdated and must be updated.
Why it's wrong here
An outdated SDK would typically return version warnings, not a PERMISSION_DENIED error from the API.
✗
The developer's account has been suspended by the billing administrator.
Why it's wrong here
Billing suspension affects resource provisioning, not IAM permission checks for listing resources.
Common exam traps
Common exam trap: answer the scenario, not the keyword
Google Cloud often tests the misconception that project-level roles like Viewer are sufficient for listing projects, when in reality the `resourcemanager.projects.list` permission must be granted at a higher level in the resource hierarchy.
Trap categories for this question
Command / output trap
MFA state does not cause PERMISSION_DENIED on gcloud commands; it affects login, not API authorization.
Detailed technical explanation
How to think about this question
The `resourcemanager.projects.list` permission is a hierarchical IAM permission that must be granted at the organization or folder node in the Google Cloud resource hierarchy. Without it, the `gcloud projects list` command cannot enumerate projects, even if the user has Viewer or other roles on individual projects. This is because the list operation requires read access to the parent resource's project collection, not the projects themselves.
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.
TExam Day Tips
→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 startup's cloud architect reviews their monthly bill and notices costs are higher than expected for a long-running batch job. Switching from on-demand instances to Reserved Instances — or using Spot/Preemptible VMs — can reduce compute costs by up to 72 %. Questions like this test whether you understand the tradeoffs between commitment, flexibility, and cost across cloud pricing models.
Related glossary terms
Concepts from this question explained
These glossary pages explain the core terms tested in this ACE question in full detail.
Setting up a cloud solution environment — This question tests Setting up a cloud solution environment — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: The developer lacks `resourcemanager.projects.list` at the organization or folder level. — The `gcloud projects list` command requires the `resourcemanager.projects.list` permission, which is granted at the organization or folder level, not at the individual project level. Even with the Viewer role on several projects, the developer lacks this specific permission at the resource hierarchy level above the projects, causing the PERMISSION_DENIED error.
What should I do if I get this ACE question wrong?
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
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.
About these practice questions
Courseiva creates original exam-style practice questions with explanations and wrong-answer analysis. It does not publish real exam questions, exam dumps, or protected exam content. Learn why practice questions differ from exam dumps →
Share a tip, memory trick, or ask about the reasoning behind this question. Do not post real exam questions, leaked content, braindumps, or copyrighted exam material. Comments are moderated and may be removed without notice.
This ACE practice question is part of Courseiva's free Google Cloud 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 ACE exam.
Question Discussion
Share a tip, memory trick, or ask about the reasoning behind this question. Do not post real exam questions, leaked content, braindumps, or copyrighted exam material. Comments are moderated and may be removed without notice.
Sign in to join the discussion.