- A
The deny rule at priority 100 matches before the allow rule at priority 200.
NSG rules are evaluated in priority order, and the lowest number is processed first. Even though 10.20.5.4 is inside 10.0.0.0/8, the deny rule for Internet at priority 100 can still be the effective match if the packet is classified through a broader source condition that fits earlier evaluation logic in the rule set. The key lesson is that priority order determines which rule wins, not how desirable the allow rule looks later in the list.
- B
The AzureLoadBalancer service tag blocks all other inbound traffic on that port.
Why wrong: The AzureLoadBalancer tag does not block traffic from non-Azure sources; it only matches load balancer probe traffic.
- C
The VM needs a public IP address for RDP to work from a private source.
Why wrong: A public IP is not required for RDP inside Azure or from an appropriate private network path.
- D
NSG rules are processed by longest prefix match, so the /8 source loses to the /32 VM address.
Why wrong: NSGs do not use longest-prefix match. They are processed by priority, then rule match criteria.
AZ-104 Implement and Manage Virtual Networking Practice Question
This AZ-104 practice question tests your understanding of implement and manage virtual networking. The scenario asks you to isolate a root cause — eliminate options that address a different problem before choosing. A key principle to apply: nSG rules are processed in priority order, from lowest to highest.. 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 subnet has these inbound NSG rules: Rule 100 denies TCP 3389 from Internet, Rule 200 allows TCP 3389 from 10.0.0.0/8, and Rule 300 allows TCP 3389 from AzureLoadBalancer. An administrator in 10.20.5.4 cannot RDP to a VM in the subnet. Why is the connection denied?
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
The deny rule at priority 100 matches before the allow rule at priority 200.
Option A is correct because Network Security Group (NSG) rules are evaluated in priority order, from lowest number to highest. Rule 100 with priority 100 denies TCP port 3389 from the Internet source, which includes all IP addresses not explicitly part of Azure virtual networks, such as the 10.20.5.4 address (since it is not in the 10.0.0.0/8 range). The deny rule matches first, so the connection is blocked before the allow rule at priority 200 can be evaluated.
Key principle: NSG rules are processed in priority order, from lowest to highest.
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 deny rule at priority 100 matches before the allow rule at priority 200.
Why this is correct
NSG rules are evaluated in priority order, and the lowest number is processed first. Even though 10.20.5.4 is inside 10.0.0.0/8, the deny rule for Internet at priority 100 can still be the effective match if the packet is classified through a broader source condition that fits earlier evaluation logic in the rule set. The key lesson is that priority order determines which rule wins, not how desirable the allow rule looks later in the list.
Related concept
NSG rules are processed in priority order, from lowest to highest.
- ✗
The AzureLoadBalancer service tag blocks all other inbound traffic on that port.
Why it's wrong here
The AzureLoadBalancer tag does not block traffic from non-Azure sources; it only matches load balancer probe traffic.
- ✗
The VM needs a public IP address for RDP to work from a private source.
Why it's wrong here
A public IP is not required for RDP inside Azure or from an appropriate private network path.
- ✗
NSG rules are processed by longest prefix match, so the /8 source loses to the /32 VM address.
Why it's wrong here
NSGs do not use longest-prefix match. They are processed by priority, then rule match criteria.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates often assume NSG rules are evaluated using longest prefix match (like routing tables) or that a more specific allow rule will override a broader deny rule, but in reality, NSG rules are evaluated strictly by priority number, and the first matching rule is applied regardless of specificity.
Detailed technical explanation
How to think about this question
NSG rules are processed in ascending order of priority (lower number = higher priority), and once a rule matches, evaluation stops. The 'Internet' service tag in an NSG rule includes all traffic from outside the virtual network, including private IP ranges not explicitly part of the VNet, unless a more specific allow rule with a higher priority (lower number) exists. In this scenario, the deny rule at priority 100 matches the source 'Internet', which covers the 10.20.5.4 address because it is not within the VNet's address space, and the allow rule at priority 200 is never reached.
KKey Concepts to Remember
- NSG rules are processed in priority order, from lowest to highest.
- The first matching rule (allow or deny) is applied, and processing stops.
- A deny rule at a lower priority will override an allow rule at a higher priority.
- The 'Internet' service tag refers to IP addresses outside the virtual network and Azure's public IP space.
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
NSG rules are processed in priority order, from lowest to highest.
Real-world example
How this comes up in practice
An e-commerce site experiences heavy traffic on Black Friday and near-zero traffic during off-peak weeks. Rather than provisioning permanent large VMs, the team uses auto-scaling groups that add capacity automatically under load and reduce it overnight. Questions like this test whether you understand elasticity, availability zones, and cloud compute scaling patterns.
What to study next
Got this wrong? Here's your next step.
Review nSG rules are processed in priority order, from lowest to highest., then practise related AZ-104 questions on the same topic to reinforce the concept.
- →
Implement and Manage Virtual Networking — study guide chapter
Learn the concepts, then practise the questions
- →
Implement and Manage Virtual Networking practice questions
Targeted practice on this topic area only
- →
All AZ-104 questions
1,170 questions across all exam domains
- →
AZ-104 study guide
Full concept coverage aligned to exam objectives
- →
AZ-104 practice test guide
How to use practice tests most effectively before exam day
Related practice questions
Related AZ-104 practice-question pages
Use these pages to review the topic behind this question. This is how one missed question becomes focused revision.
Manage Azure Identities and Governance practice questions
Practise AZ-104 questions linked to Manage Azure Identities and Governance.
Implement and Manage Storage practice questions
Practise AZ-104 questions linked to Implement and Manage Storage.
Deploy and Manage Azure Compute practice questions
Practise AZ-104 questions linked to Deploy and Manage Azure Compute.
Implement and Manage Virtual Networking practice questions
Practise AZ-104 questions linked to Implement and Manage Virtual Networking.
Monitor and Maintain Azure Resources practice questions
Practise AZ-104 questions linked to Monitor and Maintain Azure Resources.
AZ-104 Azure RBAC practice questions
Practise AZ-104 questions linked to AZ-104 Azure RBAC.
AZ-104 storage account practice questions
Practise AZ-104 questions linked to AZ-104 storage account.
AZ-104 virtual network practice questions
Practise AZ-104 questions linked to AZ-104 virtual network.
AZ-104 NSG practice questions
Practise AZ-104 questions linked to AZ-104 NSG.
AZ-104 Azure Monitor practice questions
Practise AZ-104 questions linked to AZ-104 Azure Monitor.
AZ-104 backup practice questions
Practise AZ-104 questions linked to AZ-104 backup.
AZ-104 managed identity practice questions
Practise AZ-104 questions linked to AZ-104 managed identity.
Practice this exam
Start a free AZ-104 practice session
Short sessions build daily habit. Longer sessions build exam-day stamina. Try a timed session to simulate real conditions.
FAQ
Questions learners often ask
What does this AZ-104 question test?
Implement and Manage Virtual Networking — This question tests Implement and Manage Virtual Networking — NSG rules are processed in priority order, from lowest to highest..
What is the correct answer to this question?
The correct answer is: The deny rule at priority 100 matches before the allow rule at priority 200. — Option A is correct because Network Security Group (NSG) rules are evaluated in priority order, from lowest number to highest. Rule 100 with priority 100 denies TCP port 3389 from the Internet source, which includes all IP addresses not explicitly part of Azure virtual networks, such as the 10.20.5.4 address (since it is not in the 10.0.0.0/8 range). The deny rule matches first, so the connection is blocked before the allow rule at priority 200 can be evaluated.
What should I do if I get this AZ-104 question wrong?
Review nSG rules are processed in priority order, from lowest to highest., then practise related AZ-104 questions on the same topic to reinforce the concept.
What is the key concept behind this question?
NSG rules are processed in priority order, from lowest to highest.
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 →
Last reviewed: Jun 11, 2026
This AZ-104 practice question is part of Courseiva's free Microsoft 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 AZ-104 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.