An operations team must enforce two rules across all subscriptions in a department: new resources must include a CostCenter tag, and deployments are allowed only in East US and West US. The team wants one assignment and automatic blocking of noncompliant deployments. Which three actions should the administrator take? Select three.
Answer choices
Why each option matters
Good practice is not just finding the correct option. The wrong answers often show the exact trap the exam wants you to fall into.
Best answer
Create an Azure Policy initiative that contains both policy definitions.
An initiative bundles multiple related policy definitions into a single assignable unit. That allows the team to manage the tag requirement and allowed-location requirement together as one governance package.
Best answer
Assign the initiative at the management group scope that contains the department subscriptions.
Management group scope lets the policy assignment apply across all department subscriptions consistently. This is the right place when the governance requirement must span multiple subscriptions under one organizational boundary.
Best answer
Use the Deny effect for both policy definitions.
Deny blocks noncompliant deployments at creation time, which is exactly what the team wants. It prevents resources from being deployed without the required tag or in disallowed regions.
Distractor review
Grant Contributor at the subscription scope.
Contributor is an RBAC permission, not a policy control. It allows resource management but does not enforce tag or location compliance and does not block noncompliant deployments.
Distractor review
Apply a CanNotDelete lock to each resource group.
Locks protect resources from deletion or modification, but they do not enforce deployment standards like required tags or approved locations. They solve a different governance problem.
Common exam trap
Common exam trap: ACLs stop at the first match
ACLs are processed top to bottom. The first matching entry wins, and an implicit deny usually exists at the end.
Technical deep dive
How to think about this question
ACL questions test precision: source, destination, protocol, port and direction. A generally correct ACL can still fail if it is applied on the wrong interface or in the wrong direction.
KKey Concepts to Remember
- Standard ACLs match source addresses.
- Extended ACLs can match source, destination, protocol and ports.
- The first matching ACL entry is used.
- There is usually an implicit deny at the end.
TExam Day Tips
- Check inbound versus outbound direction.
- Read the ACL from top to bottom.
- Look for a broader permit or deny above the intended line.
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FAQ
Questions learners often ask
What does this AZ-104 question test?
Standard ACLs match source addresses.
What is the correct answer to this question?
The correct answer is: Create an Azure Policy initiative that contains both policy definitions. — A single initiative is the best way to package the two related policy definitions, and assigning it at the management group scope applies it across all department subscriptions. The Deny effect is what enforces the rules at deployment time, preventing resources that lack the required tag or use disallowed regions. Together, these three actions create centralized, enforceable governance. Why others are wrong: RBAC permissions do not enforce compliance rules, and locks are for protecting existing resources rather than controlling policy-based deployment conditions. The scenario calls for centralized governance and blocking behavior, which is the job of Azure Policy, not RBAC or resource locks.
What should I do if I get this AZ-104 question wrong?
Then try more questions from the same exam bank and focus on understanding why the wrong options are tempting.
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