The correct choice is Password hash synchronization with Microsoft Entra Connect and SSPR enabled. This configuration works because Password Hash Synchronization (PHS) securely syncs on-premises Active Directory password hashes to Microsoft Entra ID, allowing users to authenticate with their on-premises credentials when signing into Microsoft 365. When SSPR is enabled in the cloud and combined with password writeback, users can reset their own passwords, and the change is written back to the on-premises AD, keeping both directories in sync without requiring federation. On the MS-102 exam, this scenario tests your understanding of hybrid identity authentication methods and the specific prerequisites for SSPR; a common trap is choosing federation or pass-through authentication, which add unnecessary complexity for this straightforward requirement. Remember the key pairing: PHS handles authentication, password writeback handles the reset sync. A useful memory tip is “PHS for auth, writeback for reset”—if both are present, you have a complete on-premises credential and SSPR solution.
MS-102 Deploy and manage a Microsoft 365 tenant Practice Question
This MS-102 practice question tests your understanding of deploy and manage a microsoft 365 tenant. 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 organization is planning to deploy Microsoft 365 for 500 users. You need to ensure that all users can authenticate using their on-premises Active Directory credentials while also enabling self-service password reset (SSPR) in the cloud. Which configuration should you implement?
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Password hash synchronization with Microsoft Entra Connect and SSPR enabled
Password hash synchronization (PHS) with Microsoft Entra Connect synchronizes on-premises AD password hashes to Microsoft Entra ID, enabling users to authenticate with their on-premises credentials in the cloud. When SSPR is enabled in Microsoft Entra ID, users can reset their cloud passwords, and with password writeback enabled, the new password is written back to on-premises AD, ensuring both environments remain in sync. This combination meets the requirement for on-premises authentication and cloud SSPR without the complexity of federation.
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.
✗
Pass-through authentication with Microsoft Entra Connect
Why it's wrong here
PTA does not enable SSPR without password write-back.
✗
Cloud-only identities with Microsoft Entra ID
Why it's wrong here
Cloud-only identities do not use on-premises credentials.
✗
Federated identity with Active Directory Federation Services (ADFS)
Why it's wrong here
ADFS requires write-back for SSPR, which is not automatic.
✓
Password hash synchronization with Microsoft Entra Connect and SSPR enabled
Why this is correct
Password hash sync allows cloud SSPR while using on-premises credentials.
Related concept
Read the scenario before looking for a memorised answer.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates often assume federated identity (ADFS) is required for on-premises authentication, but password hash synchronization with SSPR and password writeback provides a simpler, fully supported solution that meets both requirements without the overhead of federation.
Detailed technical explanation
How to think about this question
Password hash synchronization uses the SHA256 hash of the on-premises password, which is synchronized via Microsoft Entra Connect every 2 minutes by default. SSPR with password writeback leverages the Microsoft Entra Connect service to push the new password hash back to on-premises AD using the same synchronization mechanism, ensuring the on-premises password is updated. In a real-world scenario, if a user forgets their password, they can reset it via the cloud SSPR portal, and the change is reflected on-premises within the next sync cycle, eliminating the need for helpdesk intervention.
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.
Deploy and manage a Microsoft 365 tenant — This question tests Deploy and manage a Microsoft 365 tenant — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Password hash synchronization with Microsoft Entra Connect and SSPR enabled — Password hash synchronization (PHS) with Microsoft Entra Connect synchronizes on-premises AD password hashes to Microsoft Entra ID, enabling users to authenticate with their on-premises credentials in the cloud. When SSPR is enabled in Microsoft Entra ID, users can reset their cloud passwords, and with password writeback enabled, the new password is written back to on-premises AD, ensuring both environments remain in sync. This combination meets the requirement for on-premises authentication and cloud SSPR without the complexity of federation.
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.
About these practice questions
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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 organization is preparing to deploy Microsoft 365 for 5,000 users. You need to ensure that all users can authenticate using their existing on-premises Active Directory credentials while minimizing infrastructure changes. You also need to support self-service password reset (SSPR) for cloud-only users. Which authentication method should you recommend?
medium
A.Cloud-only authentication with Microsoft Entra ID
B.Pass-through Authentication (PTA)
✓ C.Password Hash Synchronization (PHS)
D.Federation with AD FS
Why C: Password Hash Synchronization (PHS) is the correct choice because it synchronizes password hashes from on-premises Active Directory to Microsoft Entra ID, allowing users to authenticate with their existing credentials without additional infrastructure. It also enables cloud-only users to use self-service password reset (SSPR) independently, as SSPR relies on cloud-stored hashes and does not require on-premises write-back for cloud-only accounts.
Last reviewed: Jun 24, 2026
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