This AZ-104 practice question tests your understanding of deploy and manage azure compute. 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.
Match each VM identity concept to its best use.
Clue words in this question
Noticing these words before you look at the options changes how you read each choice.
Clue: "best"
Why it matters: Signals that multiple options may be partially correct. Choose the option that most directly solves the exact problem described, not the one that sounds most complete.
Drag a concept onto its matching description — or click a concept then click the description.
Best for one VM; the identity is deleted with the VM.
Can be attached to multiple VMs.
Lets an app get Azure tokens without storing secrets.
Grants permissions to an Azure resource at a chosen scope.
Correct answer & explanation
Managed identities (system or user-assigned) eliminate credential management; Azure AD app identity is for custom apps; IMDS provides tokens; role assignments grant access to resources.
Key principle: NAT direction and interface roles matter as much as the IP address mapping. Inside/outside designation controls which traffic is translated.
Common exam traps
NAT is not only about the public address. The inside/outside interface roles and the ACL or rule that matches traffic are just as important.
Detailed technical explanation
NAT questions usually test address translation, overload/PAT behaviour, static mappings and whether the right traffic is being translated. Read the interface direction and address terms carefully.
Key takeaway
NAT direction and interface roles matter as much as the IP address mapping. Inside/outside designation controls which traffic is translated.
Real-world example
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
Review the four NAT address types (inside local, inside global, outside local, outside global), PAT port overload, and static vs dynamic NAT use cases. Then practise related AZ-104 NAT questions on configuration and troubleshooting.
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FAQ
Deploy and Manage Azure Compute — This question tests Deploy and Manage Azure Compute — Static NAT maps one inside address to one outside address..
Common exam trap: NAT rules depend on direction and matching traffic: NAT is not only about the public address. The inside/outside interface roles and the ACL or rule that matches traffic are just as important.
Review the four NAT address types (inside local, inside global, outside local, outside global), PAT port overload, and static vs dynamic NAT use cases. Then practise related AZ-104 NAT questions on configuration and troubleshooting.
Yes — watch for: "best". Signals that multiple options may be partially correct. Choose the option that most directly solves the exact problem described, not the one that sounds most complete.
Static NAT maps one inside address to one outside address.
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Last reviewed: Apr 26, 2026
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