- A
Assign the 'Allowed Locations' policy to the management group and the 'Require a tag on resource groups' policy to the subscription
Why wrong: Assigning allowed locations to management group would affect all child subscriptions, not just one.
- B
Assign the 'Allowed Locations' policy and the 'Require a tag on resource groups' policy to the subscription
These two policies together enforce the location restriction and the required tag on resource groups.
- C
Assign the 'Allowed Locations' policy to the subscription and the 'Inherit a tag from the resource group' policy to the management group
Why wrong: The inherit tag policy does not enforce tagging on new resource groups; it inherits from resource group to resources.
- D
Assign a single Azure Policy definition that includes both the allowed location and require tag effects
Why wrong: A single policy definition cannot combine multiple effects; you need separate definitions.
Quick Answer
The correct answer is to assign the 'Allowed Locations' policy and the 'Require a tag on resource groups' policy to the subscription. This combination directly satisfies both requirements: the Allowed Locations policy restricts resource deployment to West US only, while the Require a tag on resource groups policy enforces that every new resource group must include the 'Environment' tag with a value of 'Production'. On the Microsoft Azure Solutions Architect Expert AZ-305 exam, this scenario tests your ability to select discrete Azure Policy definitions for distinct governance objectives, as a single policy cannot enforce both location and tagging rules simultaneously. A common trap is confusing the 'Inherit a tag' policy, which only propagates existing tags, with the 'Require a tag' policy, which actively enforces tag presence. Remember the memory tip: "Location locks, tag requires" — one policy restricts where, the other mandates what.
AZ-305 Design infrastructure solutions Practice Question
This AZ-305 practice question tests your understanding of design infrastructure solutions. 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.
You are designing a governance strategy for multiple Azure subscriptions. You need to ensure that all resources in a specific subscription are deployed only in the West US region. Additionally, any new resource group must contain a tag named 'Environment' with a value of 'Production'. What combination of Azure Policy initiatives should you assign?
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 the 'Allowed Locations' policy and the 'Require a tag on resource groups' policy to the subscription
You need two policy definitions: one to restrict allowed locations and one to require a tag on resource groups. Assigning both policies to the subscription meets the requirements. Option A (single policy with both effects) is not possible. Option B requires resource groups to inherit tag, not enforce. Option D (management group assignment) is not specific to the subscription.
Key principle: NAT direction and interface roles matter as much as the IP address mapping. Inside/outside designation controls which traffic is translated.
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 the 'Allowed Locations' policy to the management group and the 'Require a tag on resource groups' policy to the subscription
Why it's wrong here
Assigning allowed locations to management group would affect all child subscriptions, not just one.
- ✓
Assign the 'Allowed Locations' policy and the 'Require a tag on resource groups' policy to the subscription
Why this is correct
These two policies together enforce the location restriction and the required tag on resource groups.
Related concept
Static NAT maps one inside address to one outside address.
- ✗
Assign the 'Allowed Locations' policy to the subscription and the 'Inherit a tag from the resource group' policy to the management group
Why it's wrong here
The inherit tag policy does not enforce tagging on new resource groups; it inherits from resource group to resources.
- ✗
Assign a single Azure Policy definition that includes both the allowed location and require tag effects
Why it's wrong here
A single policy definition cannot combine multiple effects; you need separate definitions.
Common exam traps
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.
Detailed technical explanation
How to think about this question
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.
KKey Concepts to Remember
- Static NAT maps one inside address to one outside address.
- PAT allows many inside hosts to share one public address using ports.
- Inside local and inside global describe the private and translated addresses.
- NAT ACLs identify traffic for translation, not always security filtering.
TExam Day Tips
- Identify inside and outside interfaces first.
- Check whether the scenario needs static NAT, dynamic NAT or PAT.
- Do not confuse NAT matching ACLs with normal packet-filtering intent.
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
How this comes up in practice
A cloud solutions architect for a retail company is evaluating services for a new workload. The correct answer here reflects best practice for the specific scenario described — not a general cloud recommendation. NAT direction and interface roles matter as much as the IP address mapping. Inside/outside designation controls which traffic is translated. Cloud exam questions reward reading the constraint carefully: the same technology can be right or wrong depending on the use case.
What to study next
Got this wrong? Here's your next step.
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-305 NAT questions on configuration and troubleshooting.
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Design infrastructure solutions — study guide chapter
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Design infrastructure solutions practice questions
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FAQ
Questions learners often ask
What does this AZ-305 question test?
Design infrastructure solutions — This question tests Design infrastructure solutions — Static NAT maps one inside address to one outside address..
What is the correct answer to this question?
The correct answer is: Assign the 'Allowed Locations' policy and the 'Require a tag on resource groups' policy to the subscription — You need two policy definitions: one to restrict allowed locations and one to require a tag on resource groups. Assigning both policies to the subscription meets the requirements. Option A (single policy with both effects) is not possible. Option B requires resource groups to inherit tag, not enforce. Option D (management group assignment) is not specific to the subscription.
What should I do if I get this AZ-305 question wrong?
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-305 NAT questions on configuration and troubleshooting.
What is the key concept behind this question?
Static NAT maps one inside address to one outside address.
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Last reviewed: Jun 20, 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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