Question 432 of 982

Quick Answer

The answer is Azure Policy, which enforces data residency by restricting Azure SQL Database resource creation to approved regions. This works because Azure Policy applies governance rules at the subscription or resource group level, preventing any deployment of SQL databases outside the specified geographic boundary—directly addressing the compliance requirement that customer data never leaves that region. On the DP-900 exam, this question tests your understanding that data residency is a governance concern, not a database feature; the common trap is confusing geo-replication or failover groups, which are designed for cross-region disaster recovery and would violate residency. Remember the memory tip: “Policy for placement, replication for recovery”—if the goal is to keep data in one region, you block other regions with policy, not replicate to them.

DP-900 Practice Question: Identify considerations for relational data on Azure

This DP-900 practice question tests your understanding of identify considerations for relational data on azure. 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.

A company stores customer data in an Azure SQL Database. To comply with data residency requirements, they need to ensure that all customer data remains within a specific Azure region. Which feature should they use?

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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

Use Azure Policy to restrict resource creation to allowed regions

Option B is correct because Azure SQL Database geo-replication allows configuring a secondary replica in a different region, but the question asks to keep data within a specific region; however, the scenario is about ensuring data does not leave the region. Actually, to keep data within a region, you should not use geo-replication. But the correct answer is to use a single-region deployment; but among options, 'Geo-replication' would allow cross-region, so not that. 'Failover groups' also. 'Azure Policy' can enforce resource location, but not data. 'Data masking' is for security. Wait, re-evaluating: The best answer is 'Azure Policy' to restrict resource creation to a region, but data still could be replicated? Actually, to ensure data remains within a region, you can use 'Geo-replication' to replicate to same region? No. Let's think: The requirement is to keep data within a specific region. Geo-replication is used for disaster recovery across regions, so that would violate. The correct approach is to use Azure Policy to enforce that resources are only created in allowed regions, and also to disable geo-replication. Among options, 'Azure Policy' is the most direct. However, the stem implies a feature of SQL Database itself. Actually, Azure SQL Database allows configuring a 'geo-replication' secondary in the same region? No, geo means different region. So 'Failover groups' also cross-region. 'Data masking' is irrelevant. 'Transparent Data Encryption' (TDE) is for encryption at rest, not residency. So 'Azure Policy' is the correct answer.

Key principle: Count usable hosts — not total addresses — and remember that the network and broadcast addresses are not available to hosts in standard IPv4 subnets.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • Use Azure Policy to restrict resource creation to allowed regions

    Why this is correct

    Azure Policy can enforce that SQL Database and its replicas are only created in the required region.

    Related concept

    CIDR notation defines the prefix length.

  • Enable geo-replication

    Why it's wrong here

    Geo-replication replicates data to another region, which would violate data residency.

  • Configure dynamic data masking

    Why it's wrong here

    Data masking hides sensitive data from non-privileged users, but does not control data location.

  • Enable transparent data encryption (TDE)

    Why it's wrong here

    TDE encrypts data at rest but does not affect data residency.

Common exam traps

Common exam trap: usable hosts are not the same as total addresses

Subnetting questions often tempt you into counting all addresses. In normal IPv4 subnets, the network and broadcast addresses are not usable host addresses.

Detailed technical explanation

How to think about this question

Subnetting questions test whether you can identify the network, broadcast address, usable range, mask and correct subnet. Slow down enough to calculate the block size correctly.

KKey Concepts to Remember

  • CIDR notation defines the prefix length.
  • Block size helps identify subnet boundaries.
  • Network and broadcast addresses are not usable hosts in normal IPv4 subnets.
  • The required host count determines the smallest suitable subnet.

TExam Day Tips

  • Write the block size before choosing the subnet.
  • Check whether the question asks for hosts, subnets or a specific address range.
  • Do not confuse /24, /25, /26 and /27 host counts.

Key takeaway

Count usable hosts — not total addresses — and remember that the network and broadcast addresses are not available to hosts in standard IPv4 subnets.

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. Count usable hosts — not total addresses — and remember that the network and broadcast addresses are not available to hosts in standard IPv4 subnets. 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.

Review block sizes, usable host formulas (2^n − 2), and how to find network and broadcast addresses for /24 through /30. Then practise related DP-900 subnetting questions on CIDR, address ranges, and subnet selection.

Related practice questions

Related DP-900 practice-question pages

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FAQ

Questions learners often ask

What does this DP-900 question test?

Identify considerations for relational data on Azure — This question tests Identify considerations for relational data on Azure — CIDR notation defines the prefix length..

What is the correct answer to this question?

The correct answer is: Use Azure Policy to restrict resource creation to allowed regions — Option B is correct because Azure SQL Database geo-replication allows configuring a secondary replica in a different region, but the question asks to keep data within a specific region; however, the scenario is about ensuring data does not leave the region. Actually, to keep data within a region, you should not use geo-replication. But the correct answer is to use a single-region deployment; but among options, 'Geo-replication' would allow cross-region, so not that. 'Failover groups' also. 'Azure Policy' can enforce resource location, but not data. 'Data masking' is for security. Wait, re-evaluating: The best answer is 'Azure Policy' to restrict resource creation to a region, but data still could be replicated? Actually, to ensure data remains within a region, you can use 'Geo-replication' to replicate to same region? No. Let's think: The requirement is to keep data within a specific region. Geo-replication is used for disaster recovery across regions, so that would violate. The correct approach is to use Azure Policy to enforce that resources are only created in allowed regions, and also to disable geo-replication. Among options, 'Azure Policy' is the most direct. However, the stem implies a feature of SQL Database itself. Actually, Azure SQL Database allows configuring a 'geo-replication' secondary in the same region? No, geo means different region. So 'Failover groups' also cross-region. 'Data masking' is irrelevant. 'Transparent Data Encryption' (TDE) is for encryption at rest, not residency. So 'Azure Policy' is the correct answer.

What should I do if I get this DP-900 question wrong?

Review block sizes, usable host formulas (2^n − 2), and how to find network and broadcast addresses for /24 through /30. Then practise related DP-900 subnetting questions on CIDR, address ranges, and subnet selection.

What is the key concept behind this question?

CIDR notation defines the prefix length.

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Last reviewed: Jun 20, 2026

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