AZ-104 Manage Azure Identities and Governance Practice Question
This AZ-104 practice question tests your understanding of manage azure identities and governance. 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.
Exhibit
Governance requirement:
- All current and future subscriptions under Corp must be restricted to East US and West US
- Deployments to any other region must be blocked
Current state:
- Contributors already have permission to create resources
- No region restriction is currently in place
Based on the exhibit, an administrator wants to prevent new Azure resources from being deployed in any region except East US and West US across the entire Corp hierarchy. What should the administrator configure?
Exhibit
Governance requirement:
- All current and future subscriptions under Corp must be restricted to East US and West US
- Deployments to any other region must be blocked
Current state:
- Contributors already have permission to create resources
- No region restriction is currently in place
A
Assign a built-in RBAC role that denies deployments in unsupported regions.
Why wrong: RBAC controls who can do something, but it does not evaluate whether a deployment targets an approved region. That behavior requires policy.
B
Create and assign an Azure Policy at the Corp management group using the allowed locations rule.
Azure Policy is the correct tool for enforcing location compliance. Assigning the policy at the Corp management group ensures the restriction applies to all current and future child subscriptions, and a deny effect blocks noncompliant region deployments at creation time.
C
Apply a CanNotDelete lock to the subscriptions.
Why wrong: A lock prevents deletion or modification of locked resources, but it does not stop new resources from being created in an unapproved region.
D
Use a resource tag named RegionApproved and require teams to set it manually.
Why wrong: Tags are useful for reporting, but they do not enforce region selection or block deployments. Manual tagging also does not prevent a user from choosing the wrong Azure region.
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Create and assign an Azure Policy at the Corp management group using the allowed locations rule.
Azure Policy is the correct tool to enforce governance rules across management groups. The 'allowed locations' built-in policy definition restricts resource deployment to specified regions. By assigning this policy at the Corp management group, the rule applies to all child subscriptions and resources, preventing deployment in any region except East US and West US.
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 a built-in RBAC role that denies deployments in unsupported regions.
Why it's wrong here
RBAC controls who can do something, but it does not evaluate whether a deployment targets an approved region. That behavior requires policy.
When this WOULD be correct
If the question asked: 'An administrator wants to prevent a specific user from deploying resources in any region except East US and West US.' Then assigning a custom RBAC role with a deny action on unsupported regions would be correct.
✓
Create and assign an Azure Policy at the Corp management group using the allowed locations rule.
Why this is correct
Azure Policy is the correct tool for enforcing location compliance. Assigning the policy at the Corp management group ensures the restriction applies to all current and future child subscriptions, and a deny effect blocks noncompliant region deployments at creation time.
Related concept
Read the scenario before looking for a memorised answer.
✗
Apply a CanNotDelete lock to the subscriptions.
Why it's wrong here
A lock prevents deletion or modification of locked resources, but it does not stop new resources from being created in an unapproved region.
When this WOULD be correct
If the question asked how to prevent accidental deletion of critical subscriptions or resource groups, applying a CanNotDelete lock at the subscription or resource group level would be correct.
✗
Use a resource tag named RegionApproved and require teams to set it manually.
Why it's wrong here
Tags are useful for reporting, but they do not enforce region selection or block deployments. Manual tagging also does not prevent a user from choosing the wrong Azure region.
When this WOULD be correct
If the question asked for a method to track which resources are approved for deployment in specific regions without blocking deployments, or to report on compliance after the fact, then requiring a 'RegionApproved' tag would be correct.
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.
✓Create and assign an Azure Policy at the Corp management group using the allowed locations rule.Correct answer▾
Why this is correct
Azure Policy is the correct tool for enforcing location compliance. Assigning the policy at the Corp management group ensures the restriction applies to all current and future child subscriptions, and a deny effect blocks noncompliant region deployments at creation time.
✗Assign a built-in RBAC role that denies deployments in unsupported regions.Wrong answer — click to see why▾
Why this is wrong here
RBAC roles control access to Azure resources (who can do what), not which regions are allowed for deployment. A built-in RBAC role cannot enforce region restrictions; Azure Policy is required for such governance.
★ When this WOULD be the correct answer
If the question asked: 'An administrator wants to prevent a specific user from deploying resources in any region except East US and West US.' Then assigning a custom RBAC role with a deny action on unsupported regions would be correct.
Why candidates choose this
Candidates may confuse RBAC's deny assignments with policy enforcement, thinking that a role can restrict deployment locations, when in fact RBAC only manages permissions, not resource properties.
✗Apply a CanNotDelete lock to the subscriptions.Wrong answer — click to see why▾
Why this is wrong here
A CanNotDelete lock prevents deletion of resources but does not restrict deployment regions; it cannot block resource creation in non-allowed regions.
★ When this WOULD be the correct answer
If the question asked how to prevent accidental deletion of critical subscriptions or resource groups, applying a CanNotDelete lock at the subscription or resource group level would be correct.
Why candidates choose this
Candidates may confuse locks with policy restrictions, thinking a lock can block all operations including creation, or they may misremember the purpose of CanNotDelete locks.
✗Use a resource tag named RegionApproved and require teams to set it manually.Wrong answer — click to see why▾
Why this is wrong here
Resource tags are not enforced; they rely on manual compliance and do not prevent deployment in unapproved regions. Azure Policy is required to enforce allowed locations across the management group hierarchy.
★ When this WOULD be the correct answer
If the question asked for a method to track which resources are approved for deployment in specific regions without blocking deployments, or to report on compliance after the fact, then requiring a 'RegionApproved' tag would be correct.
Why candidates choose this
Candidates may think tags can enforce governance because they are used for organization and cost tracking, but they lack the enforcement capability of Azure Policy.
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 confusing Azure Policy (which enforces rules on resource properties) with RBAC (which controls access) or resource locks (which prevent deletion), leading candidates to choose an option that addresses permissions rather than configuration compliance.
Detailed technical explanation
How to think about this question
Azure Policy uses a policy engine that evaluates resource creation and update requests against defined rules before the resource is provisioned. The 'allowed locations' policy uses the 'Microsoft.Authorization/policyDefinitions' resource type and leverages the 'policyRule' with a 'deny' effect to block non-compliant deployments. This policy can be assigned at the management group scope, and inheritance ensures all child subscriptions and resource groups are governed, even if they are created later.
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.
Related glossary terms
Concepts from this question explained
These glossary pages explain the core terms tested in this AZ-104 question in full detail.
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: Create and assign an Azure Policy at the Corp management group using the allowed locations rule. — Azure Policy is the correct tool to enforce governance rules across management groups. The 'allowed locations' built-in policy definition restricts resource deployment to specified regions. By assigning this policy at the Corp management group, the rule applies to all child subscriptions and resources, preventing deployment in any region except East US and West US.
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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Question Discussion
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