A company has an Azure subscription with hundreds of existing virtual machines. The governance team wants to enforce a policy that every virtual machine must have a tag named 'CostCenter' with a valid value. The team wants to automatically add the 'CostCenter' tag with a default value of 'Undefined' to any existing or new virtual machine that is missing the tag. They do not want to block the creation of virtual machines that are missing the tag, but they do want the tag to be added automatically within a few minutes of detection. Which Azure Policy effect should the team use?
Answer choices
Why each option matters
Good practice is not just finding the correct option. The wrong answers often show the exact trap the exam wants you to fall into.
Distractor review
Audit
The Audit effect logs a compliance event for non-compliant resources but does not perform any automatic action to add the missing tag. It only reports the non-compliance.
Distractor review
Deny
The Deny effect blocks the creation or update of resources that do not meet the policy condition. The team does not want to block creation; they want the tag added automatically.
Distractor review
Append
The Append effect can add missing fields (like tags) during resource creation or update. However, it does not automatically apply to existing resources unless a manual remediation task is triggered. The scenario requires automatic application to existing resources without manual steps, making Modify a better fit.
Best answer
Modify
The Modify effect uses a defined role (via managed identity) to change resource properties on existing and new resources. It can automatically add the 'CostCenter' tag with a default value to both existing VMs (through remediation tasks that run automatically or on a schedule) and new VMs, fulfilling the requirement without blocking resource creation.
Common exam trap
Common exam trap: ACLs stop at the first match
ACLs are processed top to bottom. The first matching entry wins, and an implicit deny usually exists at the end.
Technical deep dive
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.
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More questions from this exam
Keep practising from the same exam bank, or move into a focused topic page if this question exposed a weak area.
Question 1
A developer is building a serverless application that requires integration with an on-premises SQL Server database for real-time data processing. The on-premises network is connected to Azure via a site-to-site VPN. Which Azure service would allow the function to securely access the on-premises database without exposing it to the public internet?
Question 2
A solutions architect is designing a storage solution for a large media company. The company needs to store video files that are accessed infrequently but must be retained for several years for compliance. Which two Azure storage options meet these requirements? (Select two.)
Question 3
A company deploys a multi-tier application using Azure virtual machines. The web tier VMs must be evenly distributed across two distinct data centers within an Azure region to avoid a single point of failure from an infrastructure outage. Which Azure construct should they use to meet this requirement?
Question 4
A company wants to enforce a set of security policies across all their Azure subscriptions. They have created several individual policy definitions. Which Azure construct should they use to group these policies together and assign them as a single package?
Question 5
A company deploys a line-of-business application on an Azure virtual machine. The IT team wants to ensure the application remains secure. According to the shared responsibility model, which of the following security tasks is the sole responsibility of the customer (the company)?
Question 6
A company develops a web API that runs on Azure App Service. The development team wants to deploy a new version of the API to a staging environment, run integration tests against it, and then gradually shift production traffic to the new version. If any issues are detected, they want to immediately roll back to the previous version without redeploying. Which Azure App Service feature should the team use to meet these requirements?
FAQ
Questions learners often ask
What does this AZ-900 question test?
Standard ACLs match source addresses.
What is the correct answer to this question?
The correct answer is: Modify — The Modify effect in Azure Policy allows the automatic addition or modification of resource properties (such as tags) on existing and new resources to bring them into compliance. It uses a managed identity and can trigger remediation tasks to fix non-compliant existing resources. The Append effect only adds missing attributes during resource creation or update, but does not automatically remediate existing resources without a manual remediation task. The Audit effect only reports non-compliance without any automatic action. The Deny effect blocks creation or update of non-compliant resources, which the team does not want. Therefore, Modify is the correct effect to automatically add the tag to both existing and new virtual machines with minimal manual intervention.
What should I do if I get this AZ-900 question wrong?
Then try more questions from the same exam bank and focus on understanding why the wrong options are tempting.
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