MS-102 Deploy and manage a Microsoft 365 tenant Practice Question
You are configuring Microsoft Purview Information Protection for your tenant. You need to ensure that documents containing credit card numbers are automatically labeled as 'Highly Confidential' and encrypted. Which two components must you configure?
⚠ Common exam trap
MS-102 often tests the confusion between DLP policies and auto-labeling policies — candidates must remember that DLP enforces actions like block or warn, while auto-labeling applies sensitivity labels with encryption.
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
✓
A sensitive info type for credit card numbers.
To automatically label and encrypt documents containing credit card numbers, you need a sensitive info type that detects credit card numbers and an auto-labeling policy for sensitivity labels that applies the 'Highly Confidential' label with encryption. The sensitive info type defines what to look for, and the auto-labeling policy defines the label to apply and the conditions.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
A data loss prevention (DLP) policy.
Why it's wrong here
A DLP policy detects and blocks sensitive content in motion, but it does not apply the label or encryption to the document. It is tempting because DLP also matches credit card patterns, and would be correct when the requirement is to prevent sharing rather than to label and encrypt at rest.
- ✓
A sensitive info type for credit card numbers.
Why this is correct
A sensitive info type detects credit card numbers using pattern matching and validation, supplying the condition an auto-labelling policy needs. Without it, Microsoft Purview cannot identify the content to classify, so the label would never be applied automatically.
- ✓
An auto-labeling policy for sensitivity labels.
Why this is correct
Auto-labelling policies scan workloads such as Exchange, SharePoint and OneDrive for sensitive information types, including credit card numbers, then apply the 'Highly Confidential' sensitivity label automatically. That label carries the encryption you require, satisfying the detection-and-encryption constraint without relying on manual user action.
- ✗
A retention label.
Why it's wrong here
Retention labels govern how long content is kept and when it is deleted, not classification or encryption. They are tempting because both label types live in Microsoft Purview, and a retention label would be correct when the requirement is to retain or dispose of records on a schedule.
Go deeper
Related to this question
Learn chapter
Exchange Online Protection and Anti-Phishing
Key term
Microsoft Purview
Microsoft Purview is a unified data governance and compliance service that helps organizations discover, manage, and protect their data across on-premises, cloud, and hybrid environments.
Key term
Policy
A policy is a set of rules or guidelines that defines how an organization manages, secures, and operates its IT systems and services.
About these practice questions
This MS-102 question is part of Courseiva's 712-question bank — original exam-style content with full explanations and wrong-answer analysis, never real exam questions or exam dumps. Learn why practice questions differ from exam dumps →
JA
Written and reviewed by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
Last reviewed September 2026 · checked against the official Microsoft exam blueprint
This MS-102 practice question is part of Courseiva's free Microsoft certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the MS-102 exam.