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MS-102 Manage compliance by using Microsoft Purview Practice Question

A compliance officer needs to ensure that all documents containing a custom sensitive info type (Employee ID with pattern EMP-####) are automatically labeled with a retention label that retains the documents for 3 years. Which two Microsoft Purview components must be configured? (Choose two.)

⚠ Common exam trap

Test-takers frequently confuse sensitivity labels with retention labels, or think a DLP policy can apply retention labels, but Microsoft Purview separates these functions: DLP controls data movement, while auto-labeling policies for retention labels handle automatic retention label assignment.

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

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retention label

A retention label is required to specify the retention period (3 years) for the documents. An auto-labeling policy for retention labels is needed to automatically apply that retention label based on the detection of the custom sensitive info type (Employee ID pattern EMP-####). Together, these two components enable automatic classification and retention without manual user intervention.

Answer analysis

Option-by-option breakdown

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

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sensitivity label
Why it's wrong here
Sensitivity labels in Microsoft Purview provide classification, encryption, and access restrictions through unified labeling, but they do not manage content lifecycle. Their settings include visual markings, encryption, and access control, not retention or deletion actions. While they can be combined with retention labels, they are not designed to ensure documents stay for a defined period.
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retention label
Why this is correct
A retention label defines the retention and deletion rules for content at a granular level, such as preserving documents for a specific number of days, years, or permanently. You can apply it manually to individual items or through auto-labeling policies, and it triggers a retention period that cannot be overridden by users. For the compliance officer's requirement to manage document retention, this is the direct and authoritative mechanism.
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data loss prevention (DLP) policy
Why it's wrong here
Data loss prevention (DLP) policies monitor and protect sensitive information by detecting defined info types and enforcing actions like blocking sharing or alerting admins. DLP does not manage how long content should be kept and cannot automatically assign retention labels; its purpose is to prevent unauthorized exposure, not to preserve records. Therefore, it addresses data security, not records retention.
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An auto-labeling policy for retention labels
Why this is correct
An auto-labeling policy is the correct way to apply a retention label to all matching documents at scale, using criteria such as sensitive info types, keywords, or trainable classifiers. This policy automates the assignment of the chosen retention label, ensuring that every affected document receives the retention treatment without manual intervention. It is correct because it operationalizes the retention label across all required content.

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MS-102 Manage compliance by using Microsoft Purview Practice Question

Why each option matters

Option-by-option breakdown

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