- A
At the management group that contains the subscription.
Why wrong: That scope would grant access across multiple subscriptions and resource groups, which is broader than the team requires for a single application.
- B
At the subscription scope.
Why wrong: Subscription scope would include every resource group in the subscription, so the team would gain more access than requested.
- C
At the rg-finance-app resource group scope.
Resource group scope is the narrowest scope that still covers all resources for the finance application. Any resource inside that group inherits the assignment, while resources in other groups remain unaffected. This gives the team exactly the access needed without expanding permissions to unrelated workloads.
- D
At each individual resource in the resource group.
Why wrong: Individual resource assignments would work, but they are harder to maintain and easier to miss when new resources are added to the application.
Quick Answer
The answer is at the rg-finance-app resource group scope. This is correct because Azure role assignments follow a hierarchical inheritance model, where permissions flow downward from management groups to subscriptions to resource groups and finally to individual resources. By assigning the Contributor role directly at the resource group scope, you create a security boundary that grants the team full management capabilities over only that specific group, preventing any inheritance of permissions to other resource groups in the subscription. On the AZ-104 exam, this scenario tests your understanding of scope-based access control and the principle of least privilege—a common trap is assuming the subscription scope is needed, which would inadvertently grant access to all resource groups. Remember that to restrict permissions, always assign at the narrowest scope that satisfies the requirement. Memory tip: “Scope down to lock down”—the lower the scope, the tighter the control.
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 finance application is deployed in a single resource group named rg-finance-app. The team must manage only the resources in that group and must not receive permissions for other resource groups in the subscription. Where should the Contributor role be assigned?
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
At the rg-finance-app resource group scope.
The Contributor role must be assigned at the rg-finance-app resource group scope to restrict permissions exclusively to that group. This ensures the team can manage only the resources within that resource group, without inheriting permissions to other resource groups in the subscription. Role assignments in Azure are inherited from higher scopes (management group, subscription) down to lower scopes, so assigning at the resource group scope is the most specific and restrictive level that meets the requirement.
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.
- ✗
At the management group that contains the subscription.
Why it's wrong here
That scope would grant access across multiple subscriptions and resource groups, which is broader than the team requires for a single application.
- ✗
At the subscription scope.
Why it's wrong here
Subscription scope would include every resource group in the subscription, so the team would gain more access than requested.
- ✓
At the rg-finance-app resource group scope.
Why this is correct
Resource group scope is the narrowest scope that still covers all resources for the finance application. Any resource inside that group inherits the assignment, while resources in other groups remain unaffected. This gives the team exactly the access needed without expanding permissions to unrelated workloads.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
At each individual resource in the resource group.
Why it's wrong here
Individual resource assignments would work, but they are harder to maintain and easier to miss when new resources are added to the application.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates often choose the subscription scope (Option B) thinking it is the simplest way to grant access, but they overlook that it would grant permissions to all resource groups in the subscription, violating the requirement to restrict access to only rg-finance-app.
Detailed technical explanation
How to think about this question
Azure RBAC uses a hierarchical inheritance model where permissions flow from higher scopes (management group, subscription, resource group) down to lower scopes (resource). Assigning the Contributor role at the resource group scope leverages this inheritance, granting the role to all current and future resources within that group. A common subtlety is that role assignments at the resource group scope do not affect resources in other resource groups, even within the same subscription, which is exactly the behavior required here. In a real-world scenario, if the team later adds a new resource to rg-finance-app, it automatically inherits the Contributor role without needing a separate assignment.
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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Manage Azure Identities and Governance — study guide chapter
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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: At the rg-finance-app resource group scope. — The Contributor role must be assigned at the rg-finance-app resource group scope to restrict permissions exclusively to that group. This ensures the team can manage only the resources within that resource group, without inheriting permissions to other resource groups in the subscription. Role assignments in Azure are inherited from higher scopes (management group, subscription) down to lower scopes, so assigning at the resource group scope is the most specific and restrictive level that meets the requirement.
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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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.
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