Quick Answer
The correct answer is to set 'Users can register applications' to 'No' in the Microsoft Entra ID User settings. This configuration directly prevents non-admin users from creating application registrations in the tenant, which is the primary mechanism for blocking unauthorized app creation that could lead to data leakage through misconfigured or malicious applications. On the MS-102 exam, this question tests your understanding of Entra ID’s delegated permission model and the distinction between user-level app registration controls and broader admin consent settings. A common trap is confusing this with the 'Users can consent to apps accessing company data' setting, which controls consent, not registration. Remember the key difference: registration creates the app identity in the tenant, while consent grants it permissions. For the exam, think of the mnemonic "Register to Reside, Consent to Connect"—you must first block registration to prevent the app from even residing in your directory.
This MS-102 practice question tests your understanding of implement and manage microsoft entra identity and access. The scenario asks you to isolate a root cause — eliminate options that address a different problem before choosing. 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 Microsoft Entra ID for identity management. The security team wants to ensure that users cannot register applications in the tenant to prevent potential data leakage. Which setting should be configured?
Set the 'Admin consent requests' setting to 'Allow'
Why wrong: This controls consent requests, not registration.
Enable the 'Admin consent workflow'
Why wrong: This enables a workflow for consent, not registration.
Set 'Users can register applications' to 'No' in User settings
This prevents users from registering applications.
Set 'Users can consent to apps accessing company data' to 'No'
Why wrong: This controls consent, not registration.
Answer choices
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
Set 'Users can register applications' to 'No' in User settings
Option C is correct because setting 'Users can register applications' to 'No' in the Microsoft Entra ID User settings explicitly prevents non-admin users from creating application registrations in the tenant. This directly addresses the security team's goal of blocking users from registering apps, which could otherwise expose tenant data through misconfigured or malicious applications.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
For each option: why learners choose it and why it is or isn't the right answer here.
Set the 'Admin consent requests' setting to 'Allow'
Why it's wrong here
This controls consent requests, not registration.
Enable the 'Admin consent workflow'
Why it's wrong here
This enables a workflow for consent, not registration.
Set 'Users can register applications' to 'No' in User settings
Why this is correct
This prevents users from registering applications.
Related concept
Read the scenario before looking for a memorised answer.
Set 'Users can consent to apps accessing company data' to 'No'
Why it's wrong here
This controls consent, not registration.
Common exam traps
The trap here is that candidates often confuse 'users registering applications' with 'users consenting to applications,' leading them to select Option D, which only controls consent, not the creation of the app registration itself.
Detailed technical explanation
Under the hood, application registration in Microsoft Entra ID creates a service principal and an app object, which can be used to request OAuth 2.0 tokens and access tenant resources. Disabling user registration restricts this capability to only users with the Application Administrator or Cloud Application Administrator roles, effectively enforcing least privilege. In a real-world scenario, a user could register an app that requests permissions to read all mailboxes via Graph API, and if consent is granted, data leakage could occur even without the user being an admin.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Real-world example
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.
What to study next
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FAQ
Implement and manage Microsoft Entra identity and access — This question tests Implement and manage Microsoft Entra identity and access — Read the scenario before looking for a memorised answer..
The correct answer is: Set 'Users can register applications' to 'No' in User settings — Option C is correct because setting 'Users can register applications' to 'No' in the Microsoft Entra ID User settings explicitly prevents non-admin users from creating application registrations in the tenant. This directly addresses the security team's goal of blocking users from registering apps, which could otherwise expose tenant data through misconfigured or malicious applications.
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
Read the scenario before looking for a memorised answer.
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Last reviewed: Jun 24, 2026
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