Question 94 of 1,170

Implement and Manage Virtual Networking →hardMultiple SelectObjective-mapped

Quick Answer

The answer is that both the subnet and NIC NSGs are evaluated, and a deny in either one blocks the packet. This occurs because Azure evaluates network security groups in a cumulative, sequential order—first the subnet NSG, then the NIC NSG—processing rules by priority number, with lower numbers evaluated first. In this scenario, the subnet NSG’s DenyAllInbound rule at priority 100 is hit before its own AllowHTTPSFromOffice at priority 200, so all inbound traffic is denied immediately, and the NIC NSG’s allow rule at priority 150 is never reached. On the AZ-104 exam, this tests your understanding of the subnet and NIC NSG evaluation flow, a common trap where candidates assume the NIC NSG overrides the subnet NSG. Remember: an explicit deny at any level wins, regardless of later allows. Memory tip: “Deny first, deny always—priority 100 stops the party.”

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. 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 VM in subnet S1 has two network security groups applied: one at the subnet and one directly on the NIC. The subnet NSG contains DenyAllInbound at priority 100 and AllowHTTPSFromOffice at priority 200. The NIC NSG contains AllowHTTPSFromOffice at priority 150 and no deny rules. Office users still cannot reach the VM on TCP 443. Which two statements are correct? Select two.

Question 1hardmulti select

Review the full subnetting walkthrough →

A
The subnet-level deny rule is evaluated before the later allow rule because lower priority numbers are processed first.
NSG rules are processed in ascending priority order, so a lower number is evaluated before a higher number.
B
The NIC allow rule can override a deny decision already made by the subnet NSG.
Why wrong: A deny at either scope blocks the traffic; a NIC allow does not supersede a subnet deny.
C
Both the subnet NSG and the NIC NSG are evaluated, and a deny in either one blocks the packet.
Azure evaluates both scopes, and any matching deny rule at either scope stops the traffic flow.
D
The allow rule must use a private IP source range because public source ranges are not valid in NSG rules.
Why wrong: NSG source prefixes can be public IPs, service tags, or private ranges depending on the design.
E
A user-defined route with next hop Internet would bypass the NSG deny and restore access.
Why wrong: Routing decisions do not override NSG filtering; a deny rule still blocks the traffic.

Full breakdown with real-world context →

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 subnet-level deny rule is evaluated before the later allow rule because lower priority numbers are processed first.

Option A is correct because Azure Network Security Groups (NSGs) process rules in order of priority, with lower numbers evaluated first. The subnet NSG's DenyAllInbound rule at priority 100 is evaluated before the AllowHTTPSFromOffice rule at priority 200, resulting in an immediate deny for all inbound traffic, including HTTPS from the office. Since the subnet NSG denies the traffic at priority 100, the NIC NSG's allow rule at priority 150 is never reached, as the packet is already blocked.

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 subnet-level deny rule is evaluated before the later allow rule because lower priority numbers are processed first.
Why this is correct
NSG rules are processed in ascending priority order, so a lower number is evaluated before a higher number.
Related concept
Read the scenario before looking for a memorised answer.
✗
The NIC allow rule can override a deny decision already made by the subnet NSG.
Why it's wrong here
A deny at either scope blocks the traffic; a NIC allow does not supersede a subnet deny.
✓
Both the subnet NSG and the NIC NSG are evaluated, and a deny in either one blocks the packet.
Why this is correct
Azure evaluates both scopes, and any matching deny rule at either scope stops the traffic flow.
Related concept
Read the scenario before looking for a memorised answer.
✗
The allow rule must use a private IP source range because public source ranges are not valid in NSG rules.
Why it's wrong here
NSG source prefixes can be public IPs, service tags, or private ranges depending on the design.
✗
A user-defined route with next hop Internet would bypass the NSG deny and restore access.
Why it's wrong here
Routing decisions do not override NSG filtering; a deny rule still blocks the traffic.

Common exam traps

Common exam trap: answer the scenario, not the keyword

The trap here is that candidates often assume NIC-level rules can override subnet-level rules due to a misconception about rule precedence, but Azure applies both NSGs cumulatively, and a deny at any level blocks the traffic, so the subnet's lower-priority deny rule takes effect before the NIC's allow rule is evaluated.

Detailed technical explanation

How to think about this question

Azure NSGs are stateful and process rules in priority order (lowest to highest) within each NSG, but when both subnet and NIC NSGs are applied, the subnet NSG is evaluated first for inbound traffic. If the subnet NSG denies the packet, the NIC NSG is never consulted, making the subnet NSG the 'first line of defense.' This behavior is critical in multi-tier architectures where subnet-level security policies must be enforced before NIC-level customizations.

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?

Implement and Manage Virtual Networking — This question tests Implement and Manage Virtual Networking — Read the scenario before looking for a memorised answer..

What is the correct answer to this question?

The correct answer is: The subnet-level deny rule is evaluated before the later allow rule because lower priority numbers are processed first. — Option A is correct because Azure Network Security Groups (NSGs) process rules in order of priority, with lower numbers evaluated first. The subnet NSG's DenyAllInbound rule at priority 100 is evaluated before the AllowHTTPSFromOffice rule at priority 200, resulting in an immediate deny for all inbound traffic, including HTTPS from the office. Since the subnet NSG denies the traffic at priority 100, the NIC NSG's allow rule at priority 150 is never reached, as the packet is already blocked.

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.

About these practice questions

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Same concept, more angles

1 more ways this is tested on AZ-104

These questions test the same concept from different angles. Work through them to make sure you can recognise it however the exam phrases it.

Variation 1. A subnet contains two NSGs: one associated with the subnet and one associated with the NIC of VM-App03. You need to determine whether inbound TCP 3389 from the internet is allowed. What is the correct interpretation?

hard

A.The NIC NSG always overrides the subnet NSG.
B.Inbound traffic is allowed as long as one NSG has an allow rule.
✓ C.The effective rules are determined by evaluating both NSGs together, and a deny in either applicable path can block access.
D.Subnet NSGs apply only to outbound traffic.

Why C: When a subnet NSG and a NIC NSG are both applied, Azure evaluates the effective rules by combining both NSGs. Inbound traffic must be allowed by both NSGs along the traffic path; if either NSG has a deny rule that matches the traffic (e.g., a default deny rule for inbound internet traffic), the traffic is blocked. Option C correctly states that a deny in either applicable path can block access, which is the fundamental behavior of NSG evaluation in Azure.

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Question Discussion

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