- A
Microsoft 365 Business Standard
Correct. Business Standard includes desktop Office apps and 1 TB cloud storage per user.
- B
Microsoft 365 Business Premium
Why wrong: Incorrect. Business Premium includes additional security and device management features not needed, making it more expensive than required.
- C
Microsoft 365 E3
Why wrong: Incorrect. E3 is an enterprise plan with many features (e.g., advanced compliance, analytics) that are not required, leading to unnecessary cost.
- D
Add an Office desktop apps add-on to Business Basic
Why wrong: Incorrect. There is no such add-on available. The only way to get desktop apps with Business Basic is to upgrade to a higher license.
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 50 users with Microsoft 365 Business Basic licenses. They need desktop versions of Office apps (Word, Excel, PowerPoint) and 1 TB of cloud storage per user. They do not need advanced security, device management, or analytics features. Which licensing upgrade is the most cost-effective?
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
Microsoft 365 Business Standard
Microsoft 365 Business Standard includes desktop versions of Office apps (Word, Excel, PowerPoint) and provides 1 TB of OneDrive cloud storage per user, meeting the stated requirements exactly. It is the most cost-effective upgrade from Business Basic because it adds these features without the advanced security, device management, or analytics capabilities found in higher-tier plans.
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.
- ✓
Microsoft 365 Business Standard
Why this is correct
Correct. Business Standard includes desktop Office apps and 1 TB cloud storage per user.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
Microsoft 365 Business Premium
Why it's wrong here
Incorrect. Business Premium includes additional security and device management features not needed, making it more expensive than required.
- ✗
Microsoft 365 E3
Why it's wrong here
Incorrect. E3 is an enterprise plan with many features (e.g., advanced compliance, analytics) that are not required, leading to unnecessary cost.
- ✗
Add an Office desktop apps add-on to Business Basic
Why it's wrong here
Incorrect. There is no such add-on available. The only way to get desktop apps with Business Basic is to upgrade to a higher license.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates may think an add-on license exists for desktop Office apps on Business Basic, but Microsoft does not offer such an add-on; the only path is a plan upgrade, and Business Standard is the cheapest option that includes all required features without over-provisioning security or management capabilities.
Detailed technical explanation
How to think about this question
Microsoft 365 Business Basic provides web and mobile versions of Office apps with 1 TB of OneDrive storage per user, but lacks the desktop client applications. The desktop versions (Word, Excel, PowerPoint) are installed locally and offer full offline functionality, richer features, and better performance for complex documents. Business Standard also includes Exchange Online, SharePoint, and Teams, which are already present in Business Basic, so the upgrade is purely additive for the desktop apps and storage.
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.
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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: Microsoft 365 Business Standard — Microsoft 365 Business Standard includes desktop versions of Office apps (Word, Excel, PowerPoint) and provides 1 TB of OneDrive cloud storage per user, meeting the stated requirements exactly. It is the most cost-effective upgrade from Business Basic because it adds these features without the advanced security, device management, or analytics capabilities found in higher-tier plans.
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.
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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Last reviewed: Jun 11, 2026
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