Question 356 of 1,170
Manage Azure Identities and GovernancemediumMultiple SelectObjective-mapped

Quick Answer

The answer is to assign the Reader role at the Corp management group scope and ensure all existing and new subscriptions remain under that management group. This works because Azure RBAC roles assigned at a management group are inherited by every child subscription, so a single assignment grants read-only access to all current and future subscriptions without needing individual assignments. On the AZ-104 exam, this tests your understanding of management group hierarchy and role inheritance, a common trap being that candidates mistakenly assign the role at the root management group or try to assign it per subscription. The key insight is that inheritance flows downward, so placing all subscriptions under Corp and assigning the role there satisfies the requirement for a single, maintainable assignment. Remember the memory tip: “One role at the group, covers the whole troop.”

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 company has many subscriptions arranged under a management group named Corp. The audit team needs Reader access to every current and future subscription in Corp, and the administrator wants only one role assignment to maintain. Which two actions should be taken? Select two.

Question 1mediummulti select
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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

Assign Reader at the Corp management group scope.

Assigning the Reader role at the Corp management group scope grants read-only access to all current and future subscriptions within that management group. This is because Azure RBAC roles assigned at a management group are inherited by all child subscriptions, eliminating the need for individual assignments. This approach satisfies the requirement of a single role assignment that covers all subscriptions.

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.

  • Assign Reader at the Corp management group scope.

    Why this is correct

    A management group assignment is inherited by subscriptions beneath that group. This gives the audit team a single place to manage access while automatically covering current and future child subscriptions.

    Related concept

    Read the scenario before looking for a memorised answer.

  • Ensure all existing and new subscriptions remain under the Corp management group.

    Why this is correct

    Inheritance only helps if the subscriptions are actually members of the management group. Keeping subscriptions in Corp ensures the RBAC assignment continues to apply as the environment grows.

    Related concept

    Read the scenario before looking for a memorised answer.

  • Assign Reader separately on each subscription.

    Why it's wrong here

    Per-subscription assignment would work initially, but it creates repetitive administration. The requirement explicitly asks for one role assignment to maintain, so this is not the best approach.

  • Assign Reader at the tenant root and remove the management group.

    Why it's wrong here

    Tenant root is not the intended governance boundary for this scenario, and removing the management group defeats the goal of organizing subscriptions under Corp. The question requires a scoped, maintainable hierarchy.

  • Create a resource group for each subscription and assign Reader there.

    Why it's wrong here

    Resource group assignments do not cover an entire subscription, and they do not solve the need for broad audit visibility across multiple subscriptions. This adds complexity without meeting the requirement.

Common exam traps

Common exam trap: answer the scenario, not the keyword

The trap here is that candidates may think Reader must be assigned at each subscription individually (Option C) or at the tenant root (Option D), overlooking the inheritance behavior of management groups that allows a single assignment to cover all current and future subscriptions under a management group.

Trap categories for this question

  • Scenario analysis trap

    Tenant root is not the intended governance boundary for this scenario, and removing the management group defeats the goal of organizing subscriptions under Corp. The question requires a scoped, maintainable hierarchy.

Detailed technical explanation

How to think about this question

Azure RBAC role assignments at management group scope use Azure Resource Manager's hierarchical inheritance model, where permissions flow down to all child subscriptions and resource groups. This is implemented via the `Microsoft.Management/managementGroups` resource provider, which evaluates role assignments at each level in the hierarchy. A real-world scenario is a centralized audit team that needs read-only access across multiple subscriptions without manual updates when new subscriptions are added.

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?

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: Assign Reader at the Corp management group scope. — Assigning the Reader role at the Corp management group scope grants read-only access to all current and future subscriptions within that management group. This is because Azure RBAC roles assigned at a management group are inherited by all child subscriptions, eliminating the need for individual assignments. This approach satisfies the requirement of a single role assignment that covers all subscriptions.

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. Based on the exhibit, where should the Reader role be assigned so the audit team automatically has access to every current and future subscription under Corp?

medium
  • A.Assign Reader at the Corp management group scope.
  • B.Assign Reader at the subscription scope for Sub-001.
  • C.Assign Reader at the resource group scope in each subscription.
  • D.Assign Reader directly to each resource that the audit team might review.

Why A: Assigning the Reader role at the Corp management group scope uses Azure RBAC inheritance to grant the audit team read-only access to all current and future subscriptions under that management group. Because management group scope propagates role assignments to all child subscriptions and resource groups, this ensures automatic coverage without manual updates.

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Last reviewed: Jun 11, 2026

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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.