Question 846 of 1,170
Manage Azure Identities and GovernancehardMultiple SelectObjective-mapped

AZ-104 Manage Azure Identities and Governance Practice Question

This AZ-104 practice question tests your understanding of manage azure identities and governance. 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 subscription already grants Contributor to an application team. The organization wants to prevent deployments in unsupported Azure regions and ensure every new resource has an Environment tag. Which two controls should be implemented with Azure Policy rather than RBAC? Select two.

Question 1hardmulti select
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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

Assign an allowed-locations policy at the management group or subscription scope.

Option A is correct because Azure Policy can enforce an 'allowed-locations' policy at the management group or subscription scope to restrict resource deployment to only approved Azure regions. This is a governance control that operates declaratively, evaluating resource properties against policy rules before or after creation, unlike RBAC which controls identity-based permissions. Option C is correct because Azure Policy can enforce the 'Environment' tag on new resources using a 'require a tag and its value' policy, ensuring compliance without modifying role assignments.

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.

  • Assign an allowed-locations policy at the management group or subscription scope.

    Why this is correct

    Location is a resource property that policy can evaluate and deny, while RBAC cannot inspect deployment metadata like region.

    Related concept

    Read the scenario before looking for a memorised answer.

  • Create a custom RBAC role that blocks resources deployed outside approved regions.

    Why it's wrong here

    RBAC authorizes actions, but it cannot conditionally deny based on a resource property such as region.

  • Assign a policy that enforces the Environment tag on new resources.

    Why this is correct

    Tag enforcement is a classic Azure Policy use case, especially with deny, append, or modify effects.

    Related concept

    Read the scenario before looking for a memorised answer.

  • Add a CanNotDelete lock to every resource group.

    Why it's wrong here

    Locks prevent deletion or writes, but they do not validate required tags or allowed locations.

  • Grant User Access Administrator to the deployment team.

    Why it's wrong here

    This only changes authorization capabilities and does not enforce deployment compliance rules.

Common exam traps

Common exam trap: answer the scenario, not the keyword

The trap here is that candidates often confuse RBAC (identity-based permissions) with Azure Policy (resource property enforcement), mistakenly thinking a custom RBAC role can restrict regions or tags, when in fact RBAC only controls actions like 'write' or 'delete' and cannot evaluate resource properties like location or tags.

Detailed technical explanation

How to think about this question

Azure Policy uses a JSON-based policy definition with 'if-then' logic (e.g., 'if resource location not in allowed list, then deny') evaluated by the Azure Resource Manager during PUT requests. The 'allowed-locations' policy leverages the 'Microsoft.Authorization/policyDefinitions' resource type and can be assigned at management group, subscription, or resource group scope, with an optional 'audit' effect for non-compliance reporting. Tag enforcement policies use the 'addOrReplace' effect to automatically apply missing tags during deployment, ensuring resources are compliant without manual intervention.

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 company's IT admin needs to give a contractor read-only access to production logs without sharing account credentials. Using role-based access control (RBAC) and temporary scoped permissions — not a permanent shared password — is the correct pattern. Questions like this test whether you can apply least-privilege access across cloud identity services.

What to study next

Got this wrong? Here's your next step.

Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.

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FAQ

Questions learners often ask

What does this AZ-104 question test?

Manage Azure Identities and Governance — This question tests Manage Azure Identities and Governance — Read the scenario before looking for a memorised answer..

What is the correct answer to this question?

The correct answer is: Assign an allowed-locations policy at the management group or subscription scope. — Option A is correct because Azure Policy can enforce an 'allowed-locations' policy at the management group or subscription scope to restrict resource deployment to only approved Azure regions. This is a governance control that operates declaratively, evaluating resource properties against policy rules before or after creation, unlike RBAC which controls identity-based permissions. Option C is correct because Azure Policy can enforce the 'Environment' tag on new resources using a 'require a tag and its value' policy, ensuring compliance without modifying role assignments.

What should I do if I get this AZ-104 question wrong?

Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.

What is the key concept behind this question?

Read the scenario before looking for a memorised answer.

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Last reviewed: Jun 11, 2026

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