The correct answer is to enable AD DS authentication for the storage account, sync identities with Azure AD Connect, and configure NTFS permissions on the share. This works because Azure Files authentication with on-premises Active Directory relies on a hybrid identity bridge: Azure AD Connect synchronizes your on-premises AD users to Azure AD, allowing the storage account to validate Kerberos tickets from domain-joined clients. Once authentication is enabled, you enforce granular access by setting NTFS ACLs directly on the file share, just as you would on a Windows file server. On the AZ-500 exam, this scenario tests your understanding of identity-based access control for Azure Files, and the common trap is confusing Azure AD DS (a managed domain service) with on-premises AD DS—they are not interchangeable. Remember the three-step sequence: sync, enable, and permission. A useful memory tip is “Sync the source, enable the store, lock the door with NTFS.”
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.
Your organization uses Azure Files shares. You need to enforce access control using on-premises Active Directory (AD) credentials. The Azure Files share is already created. What should you do?
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Enable AD DS authentication for the storage account, sync identities with Azure AD Connect, and configure NTFS permissions on the share.
Option A is correct because Azure Files supports identity-based authentication using on-premises AD DS. You need to enable AD DS authentication on the storage account and assign NTFS permissions on the file share. Option B is wrong because Azure AD DS is a separate service, not on-premises AD. Option C is wrong because Azure RBAC provides share-level permissions but not NTFS. Option D is wrong because storage account keys provide full access, not granular control.
Key principle: ACLs process entries top to bottom and stop at the first match. Entry order and interface direction matter as much as the permit or deny statement.
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 AD Domain Services authentication and join the storage account to the managed domain.
ACLs are processed top to bottom. The first matching entry wins, and an implicit deny usually exists at the end.
Detailed technical explanation
How to think about this question
ACL questions test precision: source, destination, protocol, port and direction. A generally correct ACL can still fail if it is applied on the wrong interface or in the wrong direction.
KKey Concepts to Remember
Standard ACLs match source addresses.
Extended ACLs can match source, destination, protocol and ports.
The first matching ACL entry is used.
There is usually an implicit deny at the end.
TExam Day Tips
→Check inbound versus outbound direction.
→Read the ACL from top to bottom.
→Look for a broader permit or deny above the intended line.
Key takeaway
ACLs process entries top to bottom and stop at the first match. Entry order and interface direction matter as much as the permit or deny statement.
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.
Related glossary terms
Concepts from this question explained
These glossary pages explain the core terms tested in this AZ-500 question in full detail.
Review ACL processing order, placement rules (standard near destination, extended near source), and inbound vs outbound direction. Study wildcard masks and implicit deny. Then practise related AZ-500 ACL questions on filtering logic and placement.
Secure compute, storage, and databases — This question tests Secure compute, storage, and databases — Standard ACLs match source addresses..
What is the correct answer to this question?
The correct answer is: Enable AD DS authentication for the storage account, sync identities with Azure AD Connect, and configure NTFS permissions on the share. — Option A is correct because Azure Files supports identity-based authentication using on-premises AD DS. You need to enable AD DS authentication on the storage account and assign NTFS permissions on the file share. Option B is wrong because Azure AD DS is a separate service, not on-premises AD. Option C is wrong because Azure RBAC provides share-level permissions but not NTFS. Option D is wrong because storage account keys provide full access, not granular control.
What should I do if I get this AZ-500 question wrong?
Review ACL processing order, placement rules (standard near destination, extended near source), and inbound vs outbound direction. Study wildcard masks and implicit deny. Then practise related AZ-500 ACL questions on filtering logic and placement.
What is the key concept behind this question?
Standard ACLs match source addresses.
About these practice questions
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These questions test the same concept from different angles. Work through them to make sure you can recognise it however the exam phrases it.
Variation 1. Your organization uses Azure Files shares. You need to ensure that users authenticate using on-premises Active Directory credentials and that access is logged. What should you do?
medium
A.Configure a firewall rule to allow on-premises IPs and enable diagnostic logs
B.Use shared access signatures (SAS) for access and enable diagnostic logs
✓ C.Enable identity-based authentication for Azure Files and configure diagnostic logs
D.Configure Azure RBAC for the share and enable diagnostic logs
Why C: Azure Files supports identity-based authentication using on-premises AD or Azure AD DS. Enable logging via diagnostic settings. Option D is correct. Option A is wrong because firewall does not authenticate users. Option B is wrong because SAS tokens are not identity-based. Option C is wrong because RBAC controls permissions but does not authenticate on-premises AD users.
Last reviewed: Jun 20, 2026
Question Discussion
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