The correct approach is to assign a managed identity to the web app and grant it the appropriate Azure RBAC role on the blob storage container. This works because Azure Managed Identity creates an automatically managed service principal in Azure AD, enabling the app to authenticate to Blob Storage without ever storing a storage account key or password in code or configuration. By assigning the managed identity and granting it the Storage Blob Data Contributor role, the app can securely obtain an Azure AD token for access. On the AZ-104 exam, this scenario tests your understanding of identity-based authentication versus key-based methods, often appearing as a trap where candidates mistakenly choose connection strings or SAS tokens. The key distinction is that managed identities eliminate credential management entirely. Memory tip: think “MI for no keys” — Managed Identity means you never type a key.
AZ-104 Implement and Manage Storage Practice Question
This AZ-104 practice question tests your understanding of implement and manage storage. This is a configuration task: choose the command set that satisfies every stated requirement. Small differences — like 'secret' vs 'password' or 'transport input ssh' vs 'all' — change whether the answer is correct. 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 web app in Azure needs to upload files to a blob container. The development team wants the app to authenticate without storing a storage account key or password in code. Which approach should the administrator configure?
Embed the storage account key in the application settings
Why wrong: This works technically, but it exposes a long-lived secret and is not the secure approach requested.
B
Assign a managed identity to the app and grant it storage permissions
A managed identity lets the app authenticate to Azure Storage without storing credentials. Azure handles the identity lifecycle, and access is controlled with role assignments.
C
Use the public endpoint and anonymous access
Why wrong: Anonymous access weakens security and is not suitable for uploading protected application files.
D
Use an archive tier for the container
Why wrong: The access tier affects storage cost and retrieval behavior, not how the app authenticates to the account.
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Assign a managed identity to the app and grant it storage permissions
Option B is correct because Azure Managed Identity provides an automatically managed service principal in Azure AD, allowing the web app to authenticate to Azure Blob Storage without storing any credentials in code or configuration. By assigning the managed identity to the app and granting it the appropriate RBAC role (e.g., Storage Blob Data Contributor), the app can obtain an Azure AD token to securely access the blob container.
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.
✗
Embed the storage account key in the application settings
Why it's wrong here
This works technically, but it exposes a long-lived secret and is not the secure approach requested.
✓
Assign a managed identity to the app and grant it storage permissions
Why this is correct
A managed identity lets the app authenticate to Azure Storage without storing credentials. Azure handles the identity lifecycle, and access is controlled with role assignments.
Related concept
Read the scenario before looking for a memorised answer.
✗
Use the public endpoint and anonymous access
Why it's wrong here
Anonymous access weakens security and is not suitable for uploading protected application files.
✗
Use an archive tier for the container
Why it's wrong here
The access tier affects storage cost and retrieval behavior, not how the app authenticates to the account.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates may confuse managed identity with other authentication methods like SAS tokens or connection strings, or incorrectly assume that embedding keys in app settings is acceptable because it's 'not in code,' but Azure explicitly considers this a security risk for production workloads.
Detailed technical explanation
How to think about this question
Under the hood, Azure Managed Identity uses the Azure Instance Metadata Service (IMDS) endpoint (169.254.169.254) to acquire an access token for the Azure Resource Manager, which can then be used to authenticate to Azure Storage via OAuth 2.0. The web app's code uses the Azure Identity SDK (e.g., DefaultAzureCredential) to automatically request a token, eliminating the need for connection strings or shared keys. In a real-world scenario, this approach also simplifies key rotation and reduces the risk of credential leakage in CI/CD pipelines.
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 media company stores terabytes of video archives that are accessed once a year for audit purposes. Moving these objects to a cold storage tier (Azure Archive, S3 Glacier, or Google Nearline) costs a fraction of hot storage. Questions like this test whether you understand storage tiers, access frequency tradeoffs, and retrieval latency requirements.
Related glossary terms
Concepts from this question explained
These glossary pages explain the core terms tested in this AZ-104 question in full detail.
Implement and Manage Storage — This question tests Implement and Manage Storage — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Assign a managed identity to the app and grant it storage permissions — Option B is correct because Azure Managed Identity provides an automatically managed service principal in Azure AD, allowing the web app to authenticate to Azure Blob Storage without storing any credentials in code or configuration. By assigning the managed identity to the app and granting it the appropriate RBAC role (e.g., Storage Blob Data Contributor), the app can obtain an Azure AD token to securely access the blob container.
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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