The correct answer is that the encryption set will automatically use the latest version of the key. When the key version field is left empty in an Azure Disk Encryption Set ARM template, the service interprets this as an instruction to always pull the most current version of the specified key from the Azure Key Vault. This enables automatic key rotation without requiring any manual updates to the disk encryption set configuration, as the encryption set will dynamically reference the latest key version at the time of each encryption operation. On the AZ-500 exam, this scenario tests your understanding of how Azure Disk Encryption Sets decouple key versioning from the encryption configuration, often appearing as a trap where candidates mistakenly assume an empty version causes a deployment failure or defaults to a platform-managed key. Remember the memory tip: empty version equals latest version, meaning automatic rotation is built in by design.
AZ-500 Secure compute, storage, and databases Practice Question
This AZ-500 practice question tests your understanding of secure compute, storage, and databases. 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 reviewing the ARM template for an Azure Disk Encryption Set. The template includes the JSON snippet shown. You notice that the key version is empty. What is the consequence?
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
The encryption set will automatically use the latest version of the key.
An empty key version means the encryption set will automatically use the latest version of the key. Option C is correct. It does not cause failure; it enables automatic rotation. It does not use a platform-managed key. The key name is specified.
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.
✗
The encryption set will use a platform-managed key.
Why it's wrong here
The key source is Microsoft.Keyvault, so it's customer-managed.
✓
The encryption set will automatically use the latest version of the key.
Why this is correct
An empty key version means automatic use of latest version.
Related concept
Read the scenario before looking for a memorised answer.
✗
The encryption set will use the key name without any version, causing it to fail.
Why it's wrong here
It will succeed and use the latest version.
✗
The deployment will fail because a key version is required.
Why it's wrong here
Empty key version is allowed; it defaults to the latest.
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 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. Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option. Cloud exam questions reward reading the constraint carefully: the same technology can be right or wrong depending on the use case.
Related glossary terms
Concepts from this question explained
These glossary pages explain the core terms tested in this AZ-500 question in full detail.
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.
Secure compute, storage, and databases — This question tests Secure compute, storage, and databases — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: The encryption set will automatically use the latest version of the key. — An empty key version means the encryption set will automatically use the latest version of the key. Option C is correct. It does not cause failure; it enables automatic rotation. It does not use a platform-managed key. The key name is specified.
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.
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Question Discussion
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