MS-700 Configure and Manage a Teams Environment Practice Question
You are the Teams administrator for a company that uses Microsoft 365 E5. The security team requires that all internal users can only communicate with other internal users and cannot initiate chats or calls with anyone outside the organization. You need to configure the appropriate policy to enforce this restriction. What should you do?
⚠ Common exam trap
The trap here is assuming that blocking external domains in an external access policy is sufficient to block all external communication, when in fact consumer and unmanaged user communication must also be disabled.
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
✓
Create and assign a Teams external access policy that blocks all external domains, and also disable communication with consumer and unmanaged Teams users.
The correct approach is to use a Teams external access policy to block all external domains, and additionally disable communication with consumer and unmanaged Teams users. This prevents all forms of external communication, including chats and calls, aligning with the security team's requirement. Other policies, such as meeting or messaging policies, do not address external chat and calling restrictions comprehensively.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Configure a Teams meeting policy to disable anonymous join and dial-in users.
Why it's wrong here
A meeting policy controls meeting experiences, such as anonymous join and dial-in capabilities, but it does not restrict one-to-one chats or calls with external users. The requirement is to prevent all external communication, including chats and calls, not just meeting participation. Therefore, this setting alone would not satisfy the security team's demand.
- ✓
Create and assign a Teams external access policy that blocks all external domains, and also disable communication with consumer and unmanaged Teams users.
Why this is correct
An external access policy is the correct tool to control federation with other organizations. To fully block all external communication, you must also disable the ability to communicate with consumer (personal) Teams users and unmanaged Teams users. This combination ensures that internal users cannot chat or call anyone outside the organization, meeting the security requirement.
- ✗
Create and assign a Teams external access policy that blocks all external domains.
Why it's wrong here
An external access policy controls federation with other Microsoft 365 organizations and Skype for Business, but it does not block communication with consumer users (e.g., personal Teams accounts) or unmanaged Teams users. It also doesn't restrict chat with external users who are not in any allowed domain, leaving a gap. To fully block all external communication, you must also disable consumer and unmanaged user communication in the same policy or via the tenant-level setting.
- ✗
Modify the global Teams messaging policy to disable external chat and file sharing.
Why it's wrong here
The global messaging policy controls features like chat, file sharing, and translation for internal users, but external chat and file sharing are not controlled by the messaging policy. External collaboration settings are managed by external access policies and tenant-level settings. Thus, this action would not block external communication as required.
About these practice questions
One of 211 original MS-700 practice questions on Courseiva, each with a full explanation and wrong-answer analysis — not exam dumps or protected exam content. Learn why practice questions differ from exam dumps →
JA
Written and reviewed by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
Last reviewed September 2026 · checked against the official Microsoft exam blueprint
This MS-700 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 MS-700 exam.