The correct permission to request is User.Read.All application permission with admin consent. For a daemon app that runs without a user, you must use an application permission rather than a delegated permission because there is no signed-in user present to delegate their rights; the app authenticates as itself using client credentials. Application permissions grant the app direct access to data across the entire organization, which is why admin consent is mandatory—this ensures an administrator explicitly approves the elevated scope. On the MS-102 exam, this scenario tests your understanding of the difference between delegated and application permissions, often appearing in questions about background services or automated tasks. A common trap is selecting a delegated permission like User.Read.All delegated, which fails because no user context exists. Remember the key distinction: no user means no delegation—always choose application permissions for daemon apps. A helpful mnemonic is “Daemon demands direct, delegated dies without a user.”
MS-102 Practice Question: Implement and manage Microsoft Entra identity and access
This MS-102 practice question tests your understanding of implement and manage microsoft entra identity and access. Match the stated requirement to the specific cloud service, access model, or configuration option — many options are valid in isolation but not for this scenario. 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.
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
User.Read.All application permission with admin consent.
For a daemon application that runs without a user, you must request an application permission (not delegated) because there is no signed-in user to delegate permissions. User.Read.All application permission allows the app to read all users' full profiles without a user context, and admin consent is required because this permission grants access to data across the entire organization.
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.
✓
User.Read.All application permission with admin consent.
Why this is correct
The exhibit shows User.Read.All with type Application and adminConsentRequired true, which is correct for daemon apps.
Related concept
Read the scenario before looking for a memorised answer.
✗
Mail.Read delegated permission with admin consent.
Why it's wrong here
Mail.Read is not shown in the exhibit and delegated is not suitable.
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Delegated permission type for User.Read.All.
Why it's wrong here
Delegated permissions are for user-context.
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User.Read.All delegated permission with user consent.
Why it's wrong here
Daemon apps cannot use delegated permissions.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates often confuse delegated and application permissions, assuming admin consent alone makes a delegated permission suitable for a daemon app, but delegated permissions always require a user context even with admin consent.
Trap categories for this question
Command / output trap
Mail.Read is not shown in the exhibit and delegated is not suitable.
Detailed technical explanation
How to think about this question
Under the hood, daemon applications use the OAuth 2.0 client credentials grant flow, where the app authenticates with its own identity (client ID and secret/certificate) and receives an access token containing only application permissions. The Microsoft Graph API validates these tokens against the app's service principal in Entra ID, and admin consent must be pre-granted via the Azure portal or PowerShell to authorize application permissions like User.Read.All.
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 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..
What is the correct answer to this question?
The correct answer is: User.Read.All application permission with admin consent. — For a daemon application that runs without a user, you must request an application permission (not delegated) because there is no signed-in user to delegate permissions. User.Read.All application permission allows the app to read all users' full profiles without a user context, and admin consent is required because this permission grants access to data across the entire organization.
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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Question Discussion
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