Question 192 of 985

MS-900 Practice Question: Describe security, compliance, privacy, and trust in Microsoft 365

This MS-900 practice question tests your understanding of describe security, compliance, privacy, and trust in microsoft 365. 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 uses Microsoft 365 (a SaaS offering). A security incident occurs where an employee's account is compromised because the employee reused their corporate password on a personal website. According to the shared responsibility model, who is primarily responsible for this security failure?

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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

The customer (the company using Microsoft 365)

In the Microsoft 365 shared responsibility model, the customer is responsible for securing user identities, including password hygiene and multi-factor authentication (MFA). Since the employee reused their corporate password on a personal website, this is a customer-side identity management failure, not a platform vulnerability. Microsoft secures the SaaS infrastructure, but customer-managed credentials fall under the customer's responsibility.

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.

  • The customer (the company using Microsoft 365)

    Why this is correct

    Correct. The customer is responsible for managing user identities, credentials, and access policies. The breach was due to weak password practices.

    Related concept

    Read the scenario before looking for a memorised answer.

  • Microsoft, because they provide the SaaS platform

    Why it's wrong here

    Incorrect. Microsoft is responsible for securing the infrastructure, applications, and platform, but not for user password choices or reuse on external sites.

  • Both Microsoft and the customer share equal responsibility

    Why it's wrong here

    Incorrect. While both have responsibilities, the specific failure (password reuse) falls under the customer's domain of identity management.

  • It depends on the contract terms with Microsoft

    Why it's wrong here

    Incorrect. The shared responsibility model is standardized; identity security is always the customer's responsibility regardless of contract details.

Common exam traps

Common exam trap: answer the scenario, not the keyword

The trap here is that candidates often assume SaaS means Microsoft handles all security, but the shared responsibility model clearly places identity and credential management on the customer, especially for user-caused password reuse incidents.

Detailed technical explanation

How to think about this question

Under the hood, Microsoft 365 uses Azure Active Directory (Azure AD) for identity services, where the customer controls Conditional Access policies, password expiration settings, and MFA enforcement. The security incident here is a classic 'credential stuffing' attack vector, which could have been mitigated by the customer enabling MFA or using Azure AD Password Protection to block common passwords. The shared responsibility model is documented in the Microsoft Service Trust Portal and follows the principle that the customer retains control over their own data and identities, even in a SaaS model.

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.

What to study next

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FAQ

Questions learners often ask

What does this MS-900 question test?

Describe security, compliance, privacy, and trust in Microsoft 365 — This question tests Describe security, compliance, privacy, and trust in Microsoft 365 — Read the scenario before looking for a memorised answer..

What is the correct answer to this question?

The correct answer is: The customer (the company using Microsoft 365) — In the Microsoft 365 shared responsibility model, the customer is responsible for securing user identities, including password hygiene and multi-factor authentication (MFA). Since the employee reused their corporate password on a personal website, this is a customer-side identity management failure, not a platform vulnerability. Microsoft secures the SaaS infrastructure, but customer-managed credentials fall under the customer's responsibility.

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.

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Last reviewed: Jun 11, 2026

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