- A
Enable Azure Storage encryption with a CMK and configure a rotation policy on the storage account.
Why wrong: Storage accounts do not have a key rotation policy; rotation is managed at the Key Vault level.
- B
Enable Azure Storage encryption with a CMK and enable automatic key rotation in Azure Key Vault by creating a rotation policy.
Key Vault rotation policy handles automatic key version updates. The storage account can be configured to use the key URI without a specific version to pick up new versions automatically.
- C
Enable Azure Storage encryption with a CMK and manually rotate the key every 90 days.
Why wrong: Manual rotation is not automatic and requires manual intervention.
- D
Use Azure Storage service-side encryption with platform-managed keys and enforce rotation via Azure Policy.
Why wrong: Platform-managed keys cannot be rotated on a schedule; they are managed by Microsoft. The requirement is for CMK.
AZ-500 Secure compute, storage, and databases Practice Question
This AZ-500 practice question tests your understanding of secure compute, storage, and databases. 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. A key principle to apply: cMK for Azure Storage uses keys stored in Azure Key Vault.. 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.
A company stores sensitive data in Azure Blob Storage. They want to encrypt the data at rest using customer-managed keys (CMK) stored in Azure Key Vault. Additionally, they want the key to be automatically rotated every 90 days without manual intervention. Which configuration should they implement?
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
Enable Azure Storage encryption with a CMK and enable automatic key rotation in Azure Key Vault by creating a rotation policy.
Option B is correct because Azure Key Vault supports automatic key rotation through a rotation policy, which can be configured to rotate a customer-managed key (CMK) every 90 days without manual intervention. When Azure Storage encryption uses a CMK stored in Key Vault, the storage account references the key version, and enabling a rotation policy in Key Vault automatically creates new key versions, which Azure Storage then uses for encryption. This satisfies the requirement for automated 90-day rotation without manual steps.
Key principle: CMK for Azure Storage uses keys stored in Azure Key Vault.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Enable Azure Storage encryption with a CMK and configure a rotation policy on the storage account.
Why it's wrong here
Storage accounts do not have a key rotation policy; rotation is managed at the Key Vault level.
- ✓
Enable Azure Storage encryption with a CMK and enable automatic key rotation in Azure Key Vault by creating a rotation policy.
Why this is correct
Key Vault rotation policy handles automatic key version updates. The storage account can be configured to use the key URI without a specific version to pick up new versions automatically.
Related concept
CMK for Azure Storage uses keys stored in Azure Key Vault.
- ✗
Enable Azure Storage encryption with a CMK and manually rotate the key every 90 days.
Why it's wrong here
Manual rotation is not automatic and requires manual intervention.
- ✗
Use Azure Storage service-side encryption with platform-managed keys and enforce rotation via Azure Policy.
Why it's wrong here
Platform-managed keys cannot be rotated on a schedule; they are managed by Microsoft. The requirement is for CMK.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates confuse where the rotation policy is configured—thinking it is on the storage account (Option A) rather than in Azure Key Vault, or they assume platform-managed keys can be scheduled for rotation (Option D), which is not supported.
Detailed technical explanation
How to think about this question
Under the hood, Azure Key Vault's rotation policy uses a 'lifetime action' with a 'timeAfterCreate' trigger to automatically generate a new key version after a specified number of days (e.g., 90). The storage account's encryption settings reference the key via a Key Vault URI, and when a new key version is created, the storage account automatically uses the latest version if the 'key version' field is left empty. In a real-world scenario, if the key version is explicitly set, automatic rotation would break encryption until the version is updated, so best practice is to omit the version to support seamless rotation.
KKey Concepts to Remember
- CMK for Azure Storage uses keys stored in Azure Key Vault.
- Automatic key rotation is configured via a rotation policy in Azure Key Vault.
- Storage accounts should reference the Key Vault key URI without a version for automatic updates.
- Key Vault automatically creates new key versions based on the rotation policy.
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
CMK for Azure Storage uses keys stored in Azure Key Vault.
Real-world example
How this comes up in practice
A media company stores terabytes of video archives that are accessed once a year for audit purposes. Moving these objects to a cold storage tier (Azure Archive, S3 Glacier, or Google Nearline) costs a fraction of hot storage. Questions like this test whether you understand storage tiers, access frequency tradeoffs, and retrieval latency requirements.
What to study next
Got this wrong? Here's your next step.
Review cMK for Azure Storage uses keys stored in Azure Key Vault., then practise related AZ-500 questions on the same topic to reinforce the concept.
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FAQ
Questions learners often ask
What does this AZ-500 question test?
Secure compute, storage, and databases — This question tests Secure compute, storage, and databases — CMK for Azure Storage uses keys stored in Azure Key Vault..
What is the correct answer to this question?
The correct answer is: Enable Azure Storage encryption with a CMK and enable automatic key rotation in Azure Key Vault by creating a rotation policy. — Option B is correct because Azure Key Vault supports automatic key rotation through a rotation policy, which can be configured to rotate a customer-managed key (CMK) every 90 days without manual intervention. When Azure Storage encryption uses a CMK stored in Key Vault, the storage account references the key version, and enabling a rotation policy in Key Vault automatically creates new key versions, which Azure Storage then uses for encryption. This satisfies the requirement for automated 90-day rotation without manual steps.
What should I do if I get this AZ-500 question wrong?
Review cMK for Azure Storage uses keys stored in Azure Key Vault., then practise related AZ-500 questions on the same topic to reinforce the concept.
What is the key concept behind this question?
CMK for Azure Storage uses keys stored in Azure Key Vault.
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Last reviewed: Jun 11, 2026
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