- A
Enable a system-assigned managed identity on the VM.
A system-assigned managed identity gives the VM an Azure identity without storing secrets on the server. It can authenticate to Azure Storage through Microsoft Entra ID.
- B
Assign the Storage Blob Data Contributor role to that identity on the storage account or container.
This role grants the data-plane permissions needed to upload blobs. Assigning it at the storage account or container scope follows least privilege while still allowing writes.
- C
Copy the storage account access key into a configuration file on the VM.
Why wrong: An access key is a long-lived secret and violates the requirement not to store credentials on the VM. It also creates unnecessary exposure if the VM is compromised.
- D
Assign the Reader role at the resource group scope to the VM identity.
Why wrong: Reader only permits viewing Azure resources in the management plane. It does not allow the VM to upload blob data to the storage account.
- E
Create a shared access signature that never expires and place it on the VM.
Why wrong: A never-expiring SAS token is effectively a stored secret and does not meet the security requirement. SAS should be time-limited and tightly scoped.
AZ-104 Implement and Manage Storage Practice Question
This AZ-104 practice question tests your understanding of implement and manage storage. 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 Windows VM in Azure must upload log files to a blob container every hour. Security policy forbids storing the storage account key or any long-lived SAS token on the VM. Which two actions should the administrator take? Select two.
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
Enable a system-assigned managed identity on the VM.
A system-assigned managed identity on the VM allows it to authenticate to Azure AD without storing any credentials. By assigning the Storage Blob Data Contributor role to that identity on the storage account or container, the VM can upload logs using Azure AD authentication, which satisfies the security policy forbidding storage account keys or long-lived SAS tokens.
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.
- ✓
Enable a system-assigned managed identity on the VM.
Why this is correct
A system-assigned managed identity gives the VM an Azure identity without storing secrets on the server. It can authenticate to Azure Storage through Microsoft Entra ID.
Related concept
Read the scenario before looking for a memorised answer.
- ✓
Assign the Storage Blob Data Contributor role to that identity on the storage account or container.
Why this is correct
This role grants the data-plane permissions needed to upload blobs. Assigning it at the storage account or container scope follows least privilege while still allowing writes.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
Copy the storage account access key into a configuration file on the VM.
Why it's wrong here
An access key is a long-lived secret and violates the requirement not to store credentials on the VM. It also creates unnecessary exposure if the VM is compromised.
When this WOULD be correct
If the security policy allowed storing keys and the requirement was to use the storage account key for authentication (e.g., legacy applications that cannot use managed identities), then copying the key to a configuration file would be correct.
- ✗
Assign the Reader role at the resource group scope to the VM identity.
Why it's wrong here
Reader only permits viewing Azure resources in the management plane. It does not allow the VM to upload blob data to the storage account.
When this WOULD be correct
If the question required the VM to only read configuration files or monitor resource properties without writing data, assigning the Reader role at the resource group scope would be correct to allow read-only access to all resources in that group.
- ✗
Create a shared access signature that never expires and place it on the VM.
Why it's wrong here
A never-expiring SAS token is effectively a stored secret and does not meet the security requirement. SAS should be time-limited and tightly scoped.
When this WOULD be correct
If the question allowed using a SAS token with a limited expiry (e.g., 1 hour) and the VM could renew it via a secure mechanism (e.g., Azure Key Vault), then creating and using such a token would be correct. The token must have an expiry and not be stored permanently on the VM.
Option-by-option analysis
Why each answer is right or wrong
Understanding why wrong answers are wrong — and when they would be correct — is what separates a 750 score from a 900. The AZ-104 exam frequently reuses these exact scenarios with slightly different constraints.
✓Enable a system-assigned managed identity on the VM.Correct answer▾
Why this is correct
A system-assigned managed identity gives the VM an Azure identity without storing secrets on the server. It can authenticate to Azure Storage through Microsoft Entra ID.
✗Copy the storage account access key into a configuration file on the VM.Wrong answer — click to see why▾
Why this is wrong here
Copying the storage account access key into a configuration file violates the security policy forbidding storage of keys on the VM, and it exposes the key to potential compromise.
★ When this WOULD be the correct answer
If the security policy allowed storing keys and the requirement was to use the storage account key for authentication (e.g., legacy applications that cannot use managed identities), then copying the key to a configuration file would be correct.
Why candidates choose this
Candidates may think that using the storage account key is a straightforward way to authenticate, overlooking the security policy and the availability of more secure managed identity options.
✗Assign the Reader role at the resource group scope to the VM identity.Wrong answer — click to see why▾
Why this is wrong here
The Reader role only allows read access to Azure resources but does not grant permissions to write data to a blob container. The VM needs to upload logs, which requires write permissions, so the Storage Blob Data Contributor role is necessary.
★ When this WOULD be the correct answer
If the question required the VM to only read configuration files or monitor resource properties without writing data, assigning the Reader role at the resource group scope would be correct to allow read-only access to all resources in that group.
Why candidates choose this
Candidates may confuse the Reader role with a general permission that enables data access, or they might think that any role assignment to a managed identity is sufficient for authentication, overlooking the specific data actions needed.
✗Create a shared access signature that never expires and place it on the VM.Wrong answer — click to see why▾
Why this is wrong here
A SAS token that never expires violates the security policy forbidding long-lived tokens, and storing it on the VM contradicts the requirement to avoid storing credentials on the VM.
★ When this WOULD be the correct answer
If the question allowed using a SAS token with a limited expiry (e.g., 1 hour) and the VM could renew it via a secure mechanism (e.g., Azure Key Vault), then creating and using such a token would be correct. The token must have an expiry and not be stored permanently on the VM.
Why candidates choose this
Candidates may think a non-expiring SAS token is a convenient way to grant access without using account keys, overlooking the security policy against long-lived tokens and the requirement to avoid storing credentials on the VM.
Analysis generated from the official AZ-104blueprint and verified against question context. The “when correct” sections are what AI assistants cite when candidates ask “what’s the difference between these options?”
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates often confuse the Reader role (which only grants control plane read access) with data plane roles like Storage Blob Data Contributor, or mistakenly think a non-expiring SAS is acceptable despite the explicit security policy forbidding long-lived credentials.
Detailed technical explanation
How to think about this question
Managed identities use Azure Instance Metadata Service (IMDS) to obtain tokens for Azure AD authentication, with tokens valid for up to 24 hours and automatically refreshed. The Storage Blob Data Contributor role grants data plane permissions (e.g., Microsoft.Storage/storageAccounts/blobServices/containers/blobs/write) at the storage account or container scope, enabling the VM to upload logs without any key or SAS. In a real-world scenario, this approach also supports auditing via Azure AD sign-in logs, which is critical for compliance.
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.
What to study next
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FAQ
Questions learners often ask
What does this AZ-104 question test?
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: Enable a system-assigned managed identity on the VM. — A system-assigned managed identity on the VM allows it to authenticate to Azure AD without storing any credentials. By assigning the Storage Blob Data Contributor role to that identity on the storage account or container, the VM can upload logs using Azure AD authentication, which satisfies the security policy forbidding storage account keys or long-lived SAS tokens.
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
Courseiva creates original exam-style practice questions with explanations and wrong-answer analysis. It does not publish real exam questions, exam dumps, or protected exam content. Learn why practice questions differ from exam dumps →
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Last reviewed: Jun 11, 2026
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