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DP-203 Practice Question: Which TWO actions help optimize data storage…

Which TWO actions help optimize data storage costs in Azure Data Lake Storage Gen2?

⚠ Common exam trap

Watch out — candidates often confuse cost-optimization features (like tiering) with data protection or security features (like soft delete, GRS, or encryption), which serve different purposes and may actually increase costs.

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

✓

Configure lifecycle management policies to move data to cool or archive tiers.

Option C is correct because lifecycle management policies automatically transition blobs from hot to cool or archive access tiers (or delete them) based on rules such as last-modified or last-access time, and the archive tier offers the lowest storage cost per GB, directly reducing storage spend. Option E is correct because locally redundant storage (LRS) replicates data three times within a single datacenter in the primary region and is the cheapest redundancy option, making it cost-effective for temporary or non-critical data that does not require regional or geographic durability. Option A is not a cost optimization—soft delete retains deleted blobs and continues to bill for that retained data, potentially increasing cost. Option B is not a cost optimization because GRS replicates data to a secondary region, roughly doubling storage cost compared to LRS. Option D is not a cost optimization because customer-managed keys affect encryption control and key management (e.g., Key Vault costs) rather than reducing storage costs.

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 soft delete for blobs.

    Why it's wrong here

    Soft delete retains deleted blobs for a recovery window, and those retained versions continue to incur storage charges, so it adds cost rather than reducing it. It is the right control when accidental deletion protection is required, not when the goal is lowering Data Lake Storage Gen2 expenditure.

  • ✗

    Enable geo-redundant storage (GRS) for the storage account.

    Why it's wrong here

    GRS replicates every write to a secondary region, doubling stored bytes and raising cost, so it works against the optimisation goal. It is tempting because it genuinely improves durability and regional resilience, and would be correct when the requirement is disaster recovery rather than reducing storage spend.

  • ✓

    Configure lifecycle management policies to move data to cool or archive tiers.

    Why this is correct

    Lifecycle management policies automatically transition blobs from hot to cool or archive tiers based on age or last-access time, and archive storage carries the lowest per-gigabyte rate. This directly reduces storage costs for infrequently accessed data without manual intervention.

  • ✗

    Enable encryption at rest using customer-managed keys.

    Why it's wrong here

    Customer-managed keys change who controls the encryption key, not how much data is stored or which access tier it occupies; storage cost is unaffected. It is tempting because CMK strengthens compliance and key governance, and would be the right answer to a security or regulatory question rather than a cost-optimisation one.

  • ✓

    Use locally redundant storage (LRS) for temporary data.

    Why this is correct

    Locally redundant storage replicates data three times within a single datacentre and costs less than geo-redundant or zone-redundant options. For temporary data that can be regenerated, LRS satisfies the cost-optimisation goal without paying for durability across regions.

Quick reference

Azure Blob Storage Tier Comparison

TierStorage CostRetrieval CostLatencyUse Case
HotHighestLowestImmediateActive data, frequent reads
CoolLowerHigherImmediateData accessed < once / month
ColdLower stillHigherImmediateData accessed < once / quarter
ArchiveLowestHighest + rehydration delayHoursLong-term compliance retention

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JA

Written by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

This DP-203 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 DP-203 exam.