Quick Answer
The answer is Microsoft Entra ID P1 and P2. Both editions include Conditional Access, which is a policy-based engine that evaluates signals such as user identity, location, device compliance, and application sensitivity to grant or block access. While P1 delivers the core Conditional Access capabilities needed for most enterprise scenarios—like requiring multi-factor authentication or blocking untrusted locations—P2 adds risk-based policies tied to Identity Protection, such as requiring a password change when a user’s risk level is high. On the Azure Solutions Architect Expert AZ-305 exam, this distinction tests your ability to map licensing to security features; a common trap is assuming only P2 includes Conditional Access, but P1 has it as a foundational feature. Remember the memory tip: “P1 for policies, P2 for risk-based protection”—both editions enforce access rules, but only P2 layers on adaptive risk signals.
This AZ-305 practice question tests your understanding of design identity, governance, and monitoring solutions. Read the scenario carefully and evaluate each option against the stated constraints before committing to an answer. 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.
Which TWO Microsoft Entra ID editions include Conditional Access? (Choose two.)
Microsoft Entra ID P1
P1 includes Conditional Access.
Microsoft Entra ID P2
P2 includes Conditional Access plus Identity Protection.
Azure AD Basic (legacy)
Why wrong: Basic is equivalent to Free and lacks Conditional Access.
Microsoft 365 Business Basic
Why wrong: This includes only Entra ID Free.
Microsoft Entra ID Free
Why wrong: Free edition lacks Conditional Access.
Answer choices
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
Microsoft Entra ID P1
Microsoft Entra ID P1 includes Conditional Access, which allows organizations to enforce access policies based on signals like user, location, device, and application. This edition provides the core Conditional Access capabilities needed for most enterprise scenarios, such as requiring multi-factor authentication or blocking access from untrusted locations.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
For each option: why learners choose it and why it is or isn't the right answer here.
Microsoft Entra ID P1
Why this is correct
P1 includes Conditional Access.
Related concept
Read the scenario before looking for a memorised answer.
Microsoft Entra ID P2
Why this is correct
P2 includes Conditional Access plus Identity Protection.
Related concept
Read the scenario before looking for a memorised answer.
Azure AD Basic (legacy)
Why it's wrong here
Basic is equivalent to Free and lacks Conditional Access.
Microsoft 365 Business Basic
Why it's wrong here
This includes only Entra ID Free.
Microsoft Entra ID Free
Why it's wrong here
Free edition lacks Conditional Access.
Common exam traps
The trap here is that candidates often confuse Microsoft 365 Business Basic (which includes only Azure AD Free) with a higher-tier license that includes Conditional Access, or mistakenly think legacy Azure AD Basic still supports Conditional Access.
Detailed technical explanation
Conditional Access policies are evaluated at authentication time using the Microsoft Entra ID authentication pipeline, which inspects signals such as user risk, sign-in risk, device compliance (via Intune), and location (via named locations). Policies are applied after primary authentication but before token issuance, allowing granular control like requiring compliant devices for sensitive apps. In a real-world scenario, an organization might use Conditional Access to block legacy authentication protocols (e.g., POP3, SMTP) that cannot enforce MFA, reducing credential theft risk.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
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
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FAQ
Design identity, governance, and monitoring solutions — This question tests Design identity, governance, and monitoring solutions — Read the scenario before looking for a memorised answer..
The correct answer is: Microsoft Entra ID P1 — Microsoft Entra ID P1 includes Conditional Access, which allows organizations to enforce access policies based on signals like user, location, device, and application. This edition provides the core Conditional Access capabilities needed for most enterprise scenarios, such as requiring multi-factor authentication or blocking access from untrusted locations.
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
Read the scenario before looking for a memorised answer.
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Last reviewed: Jun 24, 2026
This AZ-305 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-305 exam.
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