AZ-104 Implement and Manage Virtual Networking Practice Question
A company has VNet-A with address space 10.20.0.0/16 and active workloads in several subnets. The team must peer VNet-A with VNet-B, but VNet-B currently uses 10.20.128.0/17 and cannot be rebuilt from scratch. What should the administrator do first to make peering possible without interrupting current workloads?
⚠ Common exam trap
Test-takers frequently assume Azure can handle overlapping address spaces through routing tricks (like route tables or firewalls), but Azure VNet peering strictly prohibits any address overlap and will reject the peering request outright, forcing you to resolve the conflict by adding a non-overlapping address space and migrating workloads.
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
✓
Add a new non-overlapping address space to VNet-B, create replacement subnets there, and migrate workloads gradually.
Azure Virtual Network peering requires that the address spaces of the peered VNets do not overlap. VNet-A uses 10.20.0.0/16, which fully contains VNet-B's 10.20.128.0/17, creating an overlap. Since VNet-B cannot be rebuilt, the correct first step is to add a new non-overlapping address space (e.g., 10.30.0.0/16) to VNet-B, create subnets in that new range, migrate workloads gradually, and then remove the overlapping address space before establishing the peering. This ensures no IP conflicts and avoids disrupting existing workloads.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Create the peering now and let Azure automatically route overlapping prefixes.
Why it's wrong here
VNet peering in Azure performs an address-space validation at creation time: if any prefix overlaps between the two VNets, the peering request is rejected outright. There is no routing preference or automatic longest-prefix matching that overrides this; overlapping address spaces are a supported failure condition, not a routing ambiguity. Therefore, attempting to peer the VNets as-is will simply fail, and Azure will not route anything.
When this WOULD be correct
If the question described a scenario where both VNets have non-overlapping address spaces but need to exchange routes, and the administrator wants to simplify routing, then creating the peering and letting Azure automatically manage routes (via system routes) would be correct.
- ✓
Add a new non-overlapping address space to VNet-B, create replacement subnets there, and migrate workloads gradually.
Why this is correct
Adding a second, non-overlapping address space to VNet-B is the correct remediation because Azure permits multiple address ranges per VNet as long as they do not collide with peered networks. You create fresh subnets in the new range, migrate workloads onto them, and then remove the old overlapping range once it is empty. This resolves the conflict and lets peering succeed without downtime or IP fragmentation.
- ✗
Attach a route table to VNet-B so traffic to VNet-A is forced through a firewall appliance.
Why it's wrong here
User-defined routes and forced tunneling can steer traffic through a firewall or network virtual appliance, but they cannot change the fundamental prerequisite that peered VNets must have non-overlapping address spaces. Because VNet peering is never even established when prefix conflicts exist, there is no effective route table that can be applied to 'fix' the overlap. Route tables operate on existing route paths, not on peering validation, so this option is entirely ineffective.
When this WOULD be correct
If the question involved controlling traffic flow between peered VNets (e.g., to inspect or filter traffic), attaching a route table with a firewall appliance would be correct to enforce routing policies.
- ✗
Create a private endpoint between the two VNets so Azure ignores the overlap during connectivity checks.
Why it's wrong here
A private endpoint provides a managed, private IP address for a specific PaaS resource (for example, Azure SQL Database or Blob Storage) within your virtual network. It does not alter VNet-to-VNet peering constraints, and it cannot make two VNets with overlapping address spaces routable to each other. The overlap remains, so peering creation still fails; private endpoints are a connectivity model for Azure services, not a substitute for VNet peering.
When this WOULD be correct
When you need to connect to an Azure PaaS service (e.g., Storage, SQL Database) from a VNet without exposing it to the public internet, and you want the traffic to stay within the Microsoft backbone.
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.
✓Add a new non-overlapping address space to VNet-B, create replacement subnets there, and migrate workloads gradually.Correct answer▾
Why this is correct
Adding a second, non-overlapping address space to VNet-B is the correct remediation because Azure permits multiple address ranges per VNet as long as they do not collide with peered networks. You create fresh subnets in the new range, migrate workloads onto them, and then remove the old overlapping range once it is empty. This resolves the conflict and lets peering succeed without downtime or IP fragmentation.
✗Create the peering now and let Azure automatically route overlapping prefixes.Wrong answer — click to see why▾
Why this is wrong here
Azure does not automatically route overlapping prefixes; overlapping address spaces prevent VNet peering from being established. Creating the peering without resolving the overlap will fail.
★ When this WOULD be the correct answer
If the question described a scenario where both VNets have non-overlapping address spaces but need to exchange routes, and the administrator wants to simplify routing, then creating the peering and letting Azure automatically manage routes (via system routes) would be correct.
Why candidates choose this
Candidates may mistakenly believe Azure can handle overlapping IP ranges automatically, similar to how it handles route propagation, or they assume peering will work and Azure will prioritize routes.
✗Attach a route table to VNet-B so traffic to VNet-A is forced through a firewall appliance.Wrong answer — click to see why▾
Why this is wrong here
Route tables cannot resolve address space overlap; Azure VNet peering requires non-overlapping address spaces, and forcing traffic through a firewall does not change the underlying conflict.
★ When this WOULD be the correct answer
If the question involved controlling traffic flow between peered VNets (e.g., to inspect or filter traffic), attaching a route table with a firewall appliance would be correct to enforce routing policies.
Why candidates choose this
Candidates may think that a firewall can 'hide' the overlap by redirecting traffic, but Azure's peering validation checks address spaces at the VNet level, not at the route level.
✗Create a private endpoint between the two VNets so Azure ignores the overlap during connectivity checks.Wrong answer — click to see why▾
Why this is wrong here
Private endpoints are used for secure access to PaaS services over a private IP, not for resolving VNet peering address overlap. They do not bypass the requirement for non-overlapping address spaces in peering.
★ When this WOULD be the correct answer
When you need to connect to an Azure PaaS service (e.g., Storage, SQL Database) from a VNet without exposing it to the public internet, and you want the traffic to stay within the Microsoft backbone.
Why candidates choose this
Candidates may confuse private endpoints with a way to 'ignore' overlapping address spaces, thinking they provide a direct private connection that bypasses peering restrictions.
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?”
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Managed Identities for Azure Resources
Key term
Azure Virtual Network
Azure Virtual Network is a cloud service that lets you create a private, isolated network in the Microsoft Azure cloud, allowing your virtual machines and other resources to communicate securely with each other, the internet, and your on-premises network.
Key term
VNet
A virtual private network inside a cloud provider that lets you securely connect and isolate your cloud resources.
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Same concept, more angles
4 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. An administrator creates a new spoke virtual network with address space 10.100.1.0/24 and tries to peer it to an existing hub virtual network that already uses 10.100.0.0/16. The peering fails. The business wants private connectivity between the hub and spoke. What action should the administrator take first?
medium- A.Add a route table to the spoke and point the default route to the hub.
- ✓ B.Change the spoke VNet to a non-overlapping address range before attempting peering again.
- C.Enable gateway transit on the hub and use the remote gateway from the spoke.
- D.Deploy a private DNS zone and link it to both VNets.
Why B: VNet peering requires that the address spaces of the peered virtual networks do not overlap. The hub already uses 10.100.0.0/16, which includes the spoke's 10.100.1.0/24 range, causing a conflict. Changing the spoke to a non-overlapping address range, such as 10.200.1.0/24, resolves this and allows the peering to succeed.
Variation 2. A company created a new spoke virtual network with the address space 10.40.1.0/24. The existing hub virtual network already uses 10.40.0.0/16. The administrator must peer the two VNets so resources can communicate normally. What must be changed before peering can succeed?
medium- A.Create a route table on the spoke subnet before adding the peering.
- ✓ B.Change the spoke VNet address space to a range that does not overlap the hub.
- C.Enable gateway transit on the hub peering to permit overlapping spaces.
- D.Add an NSG rule that allows traffic between the hub and spoke address spaces.
Why B: Azure Virtual Network peering requires that the address spaces of the peered VNets do not overlap. The hub VNet uses 10.40.0.0/16, which includes the spoke's 10.40.1.0/24 range. Overlapping address spaces prevent successful peering because Azure cannot route traffic correctly between overlapping IP ranges. Therefore, the spoke VNet address space must be changed to a non-overlapping range before peering can succeed.
Variation 3. A company already uses the address space 10.20.0.0/16 for a hub virtual network and 10.21.0.0/16 on-premises. A new spoke virtual network will be peered to the hub and may later connect to the on-premises network. Which address space should the administrator choose for the spoke to avoid future routing conflicts?
medium- A.10.20.64.0/19
- B.10.21.0.0/16
- ✓ C.10.22.0.0/16
- D.10.20.128.0/17
Why C: (10.22.0.0/16) is correct because it is a unique, non-overlapping address space that does not conflict with the existing hub VNet (10.20.0.0/16) or the on-premises network (10.21.0.0/16). When a spoke VNet is peered to the hub and later connected to on-premises via VPN or ExpressRoute, Azure requires that all peered and connected address spaces be unique to avoid routing conflicts. Choosing a completely separate /16 ensures no future overlap.
Variation 4. Based on the exhibit, which address space can you assign to the new spoke virtual network so it can be peered to the hub and later connected to on-premises without an IP overlap?
medium- A.10.50.128.0/17
- B.10.51.0.0/16
- ✓ C.10.52.0.0/16
- D.10.50.0.0/24
Why C: (10.52.0.0/16) is correct because it does not overlap with the hub virtual network's address space (10.50.0.0/16) or the on-premises network (10.51.0.0/16). This allows the spoke VNet to be peered to the hub and later connected to on-premises via a gateway in the hub without IP address conflicts, which is a requirement for successful VNet peering and VPN/ExpressRoute connectivity.
JA
Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
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.