Question 363 of 953

Implement a secure environment →mediumMultiple ChoiceObjective-mapped

Quick Answer

The correct answer is to configure the Azure SQL Server to use a customer-managed key from Azure Key Vault for TDE and set 'Encrypted connection' to 'Required' on the server. This solution directly satisfies both compliance mandates: replacing the service-managed key with a customer-managed key from Azure Key Vault ensures you control the encryption key for data at rest, while enforcing encrypted connections guarantees all client traffic uses TLS encryption for data in transit. On the DP-300 exam, this question tests your understanding of how to modify existing TDE configurations without data migration, as well as the distinction between server-level connection policies and database-level settings. A common trap is assuming you need to recreate the database or use a different encryption method, but the key insight is that TDE with customer-managed keys is a server-level configuration change. Memory tip: think "Key Vault for rest, Required for transit" to quickly recall the two distinct settings needed for compliance.

DP-300 Implement a secure environment Practice Question

This DP-300 practice question tests your understanding of implement a secure environment. This is a configuration task: choose the command set that satisfies every stated requirement. Small differences — like 'secret' vs 'password' or 'transport input ssh' vs 'all' — change whether the answer is correct. 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 company has an Azure SQL Database that stores sensitive customer data. You need to ensure that data is encrypted at rest and in transit. The database is currently using Transparent Data Encryption (TDE) with service-managed keys. Compliance requirements now mandate that you use customer-managed keys stored in Azure Key Vault. Additionally, all connections must use encrypted connections. What should you do?

Question 1mediummultiple choice

Full question →

A
Create a new Azure SQL Database with TDE enabled using a customer-managed key from Key Vault. Migrate data using SQL Server Management Studio (SSMS) with 'Encrypt connection' enabled.
Why wrong: Migrating data is unnecessary; you can change the TDE key protector on the existing server.
B
Configure the Azure SQL Server to use a customer-managed key from Azure Key Vault for TDE and set 'Encrypted connection' to 'Required' on the server.
This directly meets both requirements.
C
Enable Transparent Data Encryption (TDE) with service-managed keys and set 'Minimum TLS version' to 1.2.
Why wrong: Service-managed keys do not meet the customer-managed key requirement.
D
Implement Always Encrypted with keys stored in Azure Key Vault and set 'Encrypted connection' to 'Required' on the server.
Why wrong: Always Encrypted is for column-level encryption, not for TDE key management.

Full breakdown with real-world context →

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 the Azure SQL Server to use a customer-managed key from Azure Key Vault for TDE and set 'Encrypted connection' to 'Required' on the server.

Option B is correct because it directly addresses both requirements: using a customer-managed key from Azure Key Vault for TDE (which replaces the service-managed key) and enforcing encrypted connections by setting 'Encrypted connection' to 'Required' on the Azure SQL Server. This configuration ensures data at rest is encrypted with a key you control, and all client connections must use TLS encryption, meeting compliance mandates without requiring a new database or data migration.

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.

✗
Create a new Azure SQL Database with TDE enabled using a customer-managed key from Key Vault. Migrate data using SQL Server Management Studio (SSMS) with 'Encrypt connection' enabled.
Why it's wrong here
Migrating data is unnecessary; you can change the TDE key protector on the existing server.
✓
Configure the Azure SQL Server to use a customer-managed key from Azure Key Vault for TDE and set 'Encrypted connection' to 'Required' on the server.
Why this is correct
This directly meets both requirements.
Related concept
Read the scenario before looking for a memorised answer.
✗
Enable Transparent Data Encryption (TDE) with service-managed keys and set 'Minimum TLS version' to 1.2.
Why it's wrong here
Service-managed keys do not meet the customer-managed key requirement.
✗
Implement Always Encrypted with keys stored in Azure Key Vault and set 'Encrypted connection' to 'Required' on the server.
Why it's wrong here
Always Encrypted is for column-level encryption, not for TDE key management.

Common exam traps

Common exam trap: answer the scenario, not the keyword

The trap here is that candidates often confuse Always Encrypted with TDE, thinking column-level encryption satisfies the 'at rest' requirement for the entire database, or they assume that setting 'Minimum TLS version' alone ensures all connections are encrypted, when in fact 'Encrypted connection' must be explicitly set to 'Required' to reject unencrypted connections.

Detailed technical explanation

How to think about this question

When you configure an Azure SQL Server to use a customer-managed key from Azure Key Vault for TDE, the server uses the key to encrypt the database encryption key (DEK), which in turn encrypts the data files. The 'Encrypted connection' setting on the server forces all client connections to use TLS 1.2 or higher, rejecting any unencrypted connections; this is enforced at the server level via the 'Force Encryption' property in the SQL Server Network Configuration. A real-world scenario is a financial institution that must rotate encryption keys quarterly—customer-managed keys in Key Vault enable this rotation without downtime, while service-managed keys cannot be rotated on demand.

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.

TExam Day Tips

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.

What to study next

Got this wrong? Here's your next step.

Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.

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FAQ

Questions learners often ask

What does this DP-300 question test?

Implement a secure environment — This question tests Implement a secure environment — Read the scenario before looking for a memorised answer..

What is the correct answer to this question?

The correct answer is: Configure the Azure SQL Server to use a customer-managed key from Azure Key Vault for TDE and set 'Encrypted connection' to 'Required' on the server. — Option B is correct because it directly addresses both requirements: using a customer-managed key from Azure Key Vault for TDE (which replaces the service-managed key) and enforcing encrypted connections by setting 'Encrypted connection' to 'Required' on the Azure SQL Server. This configuration ensures data at rest is encrypted with a key you control, and all client connections must use TLS encryption, meeting compliance mandates without requiring a new database or data migration.

What should I do if I get this DP-300 question wrong?

Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.

What is the key concept behind this question?

Read the scenario before looking for a memorised answer.

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Same concept, more angles

2 more ways this is tested on DP-300

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 company is migrating on-premises SQL Server databases to Azure SQL Database. As part of security compliance, you must ensure that all data at rest is encrypted using customer-managed keys stored in Azure Key Vault. Which Azure SQL Database feature should you enable?

easy

A.Dynamic Data Masking
B.Always Encrypted
C.Row-Level Security
✓ D.Transparent Data Encryption with customer-managed keys in Azure Key Vault

Why D: Transparent Data Encryption (TDE) with customer-managed keys in Azure Key Vault is the correct feature because it encrypts SQL Server, Azure SQL Database, and Azure Synapse data files at rest using a customer-controlled key stored in Azure Key Vault. This meets the compliance requirement for encrypting all data at rest with customer-managed keys, as TDE performs real-time I/O encryption and decryption of the database, backups, and transaction log files without requiring application changes.

Variation 2. Your company wants to implement transparent data encryption (TDE) for an Azure SQL Database using a customer-managed key stored in Azure Key Vault. Which TWO prerequisites must be met? (Choose two.)

medium

✓ A.The Azure SQL Server must have a system-assigned managed identity.
✓ B.The Key Vault must have an access policy granting necessary permissions to the SQL Server identity.
C.The database must contain a column master key.
D.The Key Vault must be in a different region than the SQL Server.
E.The database must be taken offline during key configuration.

Why A: Option A is correct because Azure SQL Database uses the server's system-assigned managed identity to authenticate to Azure Key Vault when accessing the customer-managed key for TDE. Without this identity, the SQL Server cannot prove its identity to Key Vault to retrieve the key. Option B is correct because the Key Vault must have an access policy that grants the SQL Server's managed identity the 'get', 'wrapKey', and 'unwrapKey' permissions, which are required for TDE operations.

Last reviewed: Jun 24, 2026

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