- A
Purchase both the Microsoft 365 E5 Compliance add-on and the Microsoft 365 E5 Security add-on
These add-ons provide exactly the advanced compliance and security features needed without upgrading to E5.
- B
Upgrade all users to Microsoft 365 E5
Why wrong: E5 includes the features but is more expensive than E3 plus the two add-ons.
- C
Purchase only the Microsoft 365 E5 Compliance add-on
Why wrong: This add-on does not include Defender for Microsoft 365 Plan 2; that requires the Security add-on or E5.
- D
Purchase only the Microsoft 365 E5 Security add-on
Why wrong: This provides Defender for Microsoft 365 Plan 2 but not eDiscovery Premium.
MS-900 Describe Microsoft 365 pricing and support Practice Question
This MS-900 practice question tests your understanding of describe microsoft 365 pricing and support. Read the scenario carefully and evaluate each option against the stated constraints before committing to an answer. 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 has 100 Microsoft 365 E3 users. They need to add advanced threat protection (Microsoft Defender for Microsoft 365 Plan 2) and advanced compliance (eDiscovery Premium) for all users. They want to minimize additional costs while keeping their existing E3 subscriptions. What is the most cost-effective licensing strategy?
Clue words in this question
Noticing these words before you look at the options changes how you read each choice.
Clue:
"minimum / minimize"Why it matters: Asks for the least resource use — fewest addresses, smallest subnet, lowest overhead. Eliminate over-provisioned options even if they would technically work.
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
Purchase both the Microsoft 365 E5 Compliance add-on and the Microsoft 365 E5 Security add-on
The Microsoft 365 E5 Security add-on provides Microsoft Defender for Office 365 Plan 2, and the Microsoft 365 E5 Compliance add-on provides eDiscovery Premium. Purchasing both add-ons for existing E3 users delivers the required advanced threat protection and advanced compliance capabilities without the full cost of upgrading to E5, making it the most cost-effective strategy.
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.
- ✓
Purchase both the Microsoft 365 E5 Compliance add-on and the Microsoft 365 E5 Security add-on
Why this is correct
These add-ons provide exactly the advanced compliance and security features needed without upgrading to E5.
Clue confirmation
The clue word "minimum / minimize" in the question point toward this answer.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
Upgrade all users to Microsoft 365 E5
Why it's wrong here
E5 includes the features but is more expensive than E3 plus the two add-ons.
- ✗
Purchase only the Microsoft 365 E5 Compliance add-on
Why it's wrong here
This add-on does not include Defender for Microsoft 365 Plan 2; that requires the Security add-on or E5.
- ✗
Purchase only the Microsoft 365 E5 Security add-on
Why it's wrong here
This provides Defender for Microsoft 365 Plan 2 but not eDiscovery Premium.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates may assume upgrading to E5 is the only way to get both advanced security and compliance features, overlooking the cost-saving option of purchasing the specific E5 add-ons for existing E3 users.
Detailed technical explanation
How to think about this question
Microsoft 365 E5 add-ons are licensed per user and can be assigned independently to existing E3 subscriptions, allowing granular feature deployment. Microsoft Defender for Office 365 Plan 2 includes automated investigation and response (AIR) and threat hunting capabilities, while eDiscovery Premium (part of the E5 Compliance add-on) provides advanced analytics, predictive coding, and review sets for legal cases. This modular approach avoids the bundled cost of E5, which includes additional services like Power BI Pro and Advanced eDiscovery that may not be needed.
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 startup's cloud architect reviews their monthly bill and notices costs are higher than expected for a long-running batch job. Switching from on-demand instances to Reserved Instances — or using Spot/Preemptible VMs — can reduce compute costs by up to 72 %. Questions like this test whether you understand the tradeoffs between commitment, flexibility, and cost across cloud pricing models.
What to study next
Got this wrong? Here's your next step.
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
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FAQ
Questions learners often ask
What does this MS-900 question test?
Describe Microsoft 365 pricing and support — This question tests Describe Microsoft 365 pricing and support — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Purchase both the Microsoft 365 E5 Compliance add-on and the Microsoft 365 E5 Security add-on — The Microsoft 365 E5 Security add-on provides Microsoft Defender for Office 365 Plan 2, and the Microsoft 365 E5 Compliance add-on provides eDiscovery Premium. Purchasing both add-ons for existing E3 users delivers the required advanced threat protection and advanced compliance capabilities without the full cost of upgrading to E5, making it the most cost-effective strategy.
What should I do if I get this MS-900 question wrong?
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
Are there clue words in this question I should notice?
Yes — watch for: "minimum / minimize". Asks for the least resource use — fewest addresses, smallest subnet, lowest overhead. Eliminate over-provisioned options even if they would technically work.
What is the key concept behind this question?
Read the scenario before looking for a memorised answer.
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Last reviewed: Jun 11, 2026
This MS-900 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-900 exam.
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