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Question 963 of 1,000
Secure identity and access →mediumMultiple ChoiceObjective-mapped

Quick Answer

The correct answer is that external users will receive a one-time passcode via email when they are invited. This is true because the exhibit shows the `enableB2BEmailOneTimePasscode` setting is set to `true`, which means that if an invited guest cannot authenticate through their existing identity provider—such as a Microsoft, Google, or SAML/WS-Fed account—Azure AD will fall back to sending a one-time passcode to their email address for authentication. On the AZ-500 exam, this question tests your ability to interpret Azure AD external collaboration settings from a JSON or portal view, specifically distinguishing between the `allowInvitationsFrom`, `allowEmailVerifiedUsersToJoinOrganization`, and `enableB2BDirectConnect` properties. A common trap is confusing the one-time passcode feature with the ability for email-verified users to join automatically, which is controlled by a separate setting. Remember the mnemonic “OTP for guests, not for joiners” to keep the one-time passcode tied to invited users, not self-service sign-ups.

AZ-500 Secure identity and access Practice Question

This AZ-500 practice question tests your understanding of secure identity and access. The scenario asks you to isolate a root cause — eliminate options that address a different problem before choosing. 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

{
  "policy": {
    "tenantId": "contoso.onmicrosoft.com",
    "displayName": "External Collaboration Policy",
    "description": "Controls external user invitations and access",
    "settings": {
      "allowEmailVerifiedUsersToJoinOrganization": false,
      "allowInvitationsFrom": "adminsAndGuestInviters",
      "enableB2BEmailOneTimePasscode": true,
      "enableB2BDirectConnect": false
    }
  }
}

Refer to the exhibit. You are reviewing the external collaboration settings for your Microsoft Entra ID tenant. Based on the exhibit, which of the following statements is true about the current configuration?

Question 1mediummultiple choice
Full question →

Exhibit

{
  "policy": {
    "tenantId": "contoso.onmicrosoft.com",
    "displayName": "External Collaboration Policy",
    "description": "Controls external user invitations and access",
    "settings": {
      "allowEmailVerifiedUsersToJoinOrganization": false,
      "allowInvitationsFrom": "adminsAndGuestInviters",
      "enableB2BEmailOneTimePasscode": true,
      "enableB2BDirectConnect": false
    }
  }
}

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

✓

External users will receive a one-time passcode via email when they are invited.

Option C is correct because enableB2BEmailOneTimePasscode is true, allowing guests to authenticate using a one-time passcode if they cannot use other identity providers. Option A is wrong because allowInvitationsFrom is set to 'adminsAndGuestInviters', meaning guests can also invite. Option B is wrong because allowEmailVerifiedUsersToJoinOrganization is false, so email-verified users cannot join automatically. Option D is wrong because enableB2BDirectConnect is false, so Teams external access is not enabled.

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.

  • ✗

    Only administrators can invite external users.

    Why it's wrong here

    The setting 'allowInvitationsFrom' includes guest inviters, not just admins.

  • ✗

    B2B direct connect is enabled for Teams external access.

    Why it's wrong here

    'enableB2BDirectConnect' is false.

  • ✗

    Users with email-verified accounts can join the organization automatically.

    Why it's wrong here

    'allowEmailVerifiedUsersToJoinOrganization' is false.

  • ✓

    External users will receive a one-time passcode via email when they are invited.

    Why this is correct

    'enableB2BEmailOneTimePasscode' is true, so guests can use email OTP.

    Related concept

    Read the scenario before looking for a memorised answer.

Common exam traps

Common exam trap: answer the scenario, not the keyword

Many certification questions include familiar terms but test a specific constraint. Read the exact wording before choosing an answer that is generally true but wrong for this case.

Detailed technical explanation

How to think about this question

This question should be treated as a scenario, not a definition check. Identify the problem, the constraint and the best action. Then compare each option against those facts.

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.
  • Use explanations to understand the rule behind the answer.

TExam Day Tips

  • Underline the problem statement mentally.
  • 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.

What to study next

Got this wrong? Here's your next step.

Identify which AZ-500 exam domain this question belongs to, then review the specific concept being tested. Practise related questions in that domain and focus on understanding why each wrong answer is tempting — not just why the correct answer is right.

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FAQ

Questions learners often ask

What does this AZ-500 question test?

Secure identity and access — This question tests Secure identity and access — Read the scenario before looking for a memorised answer..

What is the correct answer to this question?

The correct answer is: External users will receive a one-time passcode via email when they are invited. — Option C is correct because enableB2BEmailOneTimePasscode is true, allowing guests to authenticate using a one-time passcode if they cannot use other identity providers. Option A is wrong because allowInvitationsFrom is set to 'adminsAndGuestInviters', meaning guests can also invite. Option B is wrong because allowEmailVerifiedUsersToJoinOrganization is false, so email-verified users cannot join automatically. Option D is wrong because enableB2BDirectConnect is false, so Teams external access is not enabled.

What should I do if I get this AZ-500 question wrong?

Identify which AZ-500 exam domain this question belongs to, then review the specific concept being tested. Practise related questions in that domain and focus on understanding why each wrong answer is tempting — not just why the correct answer is right.

What is the key concept behind this question?

Read the scenario before looking for a memorised answer.

About these practice questions

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Last reviewed: Jun 20, 2026

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This AZ-500 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-500 exam.