The correct answer is to create a computer account named AZUREADSSOACC in each on-premises Active Directory forest. This account is essential because Azure AD Seamless SSO relies on it to sign Kerberos tickets for users accessing Microsoft 365 resources, allowing passwordless sign-in from domain-joined devices without prompting for credentials. The account must reside in the root domain of each forest, and Azure AD Connect automatically manages its password, ensuring the Kerberos authentication flow works seamlessly with password hash synchronization. On the MS-102 exam, this question tests your understanding of the Seamless SSO prerequisite—a common trap is assuming a service connection point or a user account is needed instead. Remember, it is a computer account, not a user or group, and it must be created per forest, not per domain. A simple memory tip: think "SSO = Single Sign-On = Single computer account per forest."
MS-102 Practice Question: Implement and manage identity and access in Microsoft Entra ID
This MS-102 practice question tests your understanding of implement and manage identity and access in microsoft entra id. 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.
A company uses Azure AD Connect with password hash synchronization. They want to enable Azure AD Seamless Single Sign-On (SSO) for users accessing Microsoft 365 from domain-joined devices on the corporate network. Which configuration is required on the on-premises Active Directory?
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Create a computer account named AZUREADSSOACC in each AD forest
Azure AD Seamless SSO requires a computer account named AZUREADSSOACC to be created in each on-premises AD forest. This account is used by Azure AD to sign Kerberos tickets for users accessing Microsoft 365 resources, enabling automatic sign-in without password prompts. The account must be created in the root domain of each forest and its password is managed automatically by Azure AD Connect.
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 computer account named AZUREADSSOACC in each AD forest
Why this is correct
This account is used by Azure AD Connect to sign users in silently.
Related concept
Read the scenario before looking for a memorised answer.
✗
Install Azure AD Connect on a separate server
Why it's wrong here
Azure AD Connect is already installed; no separate server is required for Seamless SSO.
✗
Enable Passthrough Authentication
Why it's wrong here
Passthrough Authentication is a different authentication method, not required for Seamless SSO.
✗
Set the service connection point in Active Directory
Why it's wrong here
Service connection points are used for Azure AD Connect configuration, not for Seamless SSO.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates often confuse Seamless SSO with Passthrough Authentication or think a separate server is required, but the key requirement is the specific computer account AZUREADSSOACC in each forest, which is a unique Kerberos-based mechanism.
Detailed technical explanation
How to think about this question
Under the hood, Azure AD Seamless SSO works by having the AZUREADSSOACC computer account's Kerberos decryption key stored in Azure AD. When a user accesses a Microsoft 365 endpoint, Azure AD issues a challenge that the client resolves by requesting a Kerberos ticket from the on-premises domain controller for the AZUREADSSOACC account. This ticket is then presented to Azure AD, which decrypts it using the stored key to verify the user's identity. A subtle behavior is that the AZUREADSSOACC account must be created in the root domain of each forest, and its password is automatically rotated every 30 days by Azure AD Connect.
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 company's IT admin needs to give a contractor read-only access to production logs without sharing account credentials. Using role-based access control (RBAC) and temporary scoped permissions — not a permanent shared password — is the correct pattern. Questions like this test whether you can apply least-privilege access across cloud identity services.
Related glossary terms
Concepts from this question explained
These glossary pages explain the core terms tested in this MS-102 question in full detail.
Implement and manage identity and access in Microsoft Entra ID — This question tests Implement and manage identity and access in Microsoft Entra ID — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Create a computer account named AZUREADSSOACC in each AD forest — Azure AD Seamless SSO requires a computer account named AZUREADSSOACC to be created in each on-premises AD forest. This account is used by Azure AD to sign Kerberos tickets for users accessing Microsoft 365 resources, enabling automatic sign-in without password prompts. The account must be created in the root domain of each forest and its password is managed automatically by Azure AD Connect.
What should I do if I get this MS-102 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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