easyMultiple Choice
MS-900 Microsoft 365 Business Standard Practice Question
A small business with 15 employees needs Microsoft 365 subscriptions that include desktop versions of Office apps and business-class email. They have a limited budget. Which is the most cost-effective plan that meets these requirements?
⚠ Common exam trap
A common mix-up: candidates confuse 'Business Basic' (which lacks desktop Office apps) with 'Business Standard' (which includes them), or they assume 'Business Premium' is the only plan with desktop apps and email, overlooking the cost-benefit trade-off that Business Standard is the correct minimum plan for these exact requirements.
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 is the most cost-effective plan that includes both desktop versions of Office apps (e.g., Word, Excel, PowerPoint) and business-class email (Exchange Online with a 50 GB mailbox and custom domain). Business Basic only provides web and mobile Office apps without desktop installations, while Business Premium adds advanced security and device management features that exceed the small business's limited budget and stated requirements. Office 365 E1 is an enterprise plan that lacks desktop Office apps entirely.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
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Microsoft 365 Business Basic
Why it's wrong here
Business Basic includes business-class email but only web and mobile Office apps, so it fails the desktop requirement. It is tempting as the cheapest per-user plan, and would be correct if desktop Office were not required; Business Standard is the lowest tier bundling desktop apps with email.
- ✓
Microsoft 365 Business Standard
Why this is correct
Microsoft 365 Business Standard includes desktop Office apps and business-class email, satisfying both stated requirements. It costs less than Business Premium, which adds Microsoft Entra ID P1 and Intune features the 15-employee business does not need. Business Basic would fail the desktop-apps constraint, so Standard is the cheapest qualifying plan.
- ✗
Microsoft 365 Business Premium
Why it's wrong here
Business Premium does include desktop Office apps and business-class email, but its added Intune and Defender features raise the per-user price beyond what the stated budget requires. It would be correct where device management and advanced threat protection are needed; Business Standard meets the requirements more cheaply.
- ✗
Office 365 E1
Why it's wrong here
Office 365 E1 provides web-only Office apps and no desktop installation, so it fails the desktop requirement despite including email. It is tempting as an enterprise tier, but it would only be correct where web and mobile access suffice and enterprise compliance features are needed.
Go deeper
Related to this question
Learn chapter
Microsoft 365 Message Centre and Change Management
Key term
Microsoft 365
Microsoft 365 is a subscription-based cloud service from Microsoft that combines productivity tools like Office apps with security, device management, and online storage.
Key term
Exchange Online
Exchange Online is Microsoft's cloud-based email, calendar, and contact hosting service that is part of the Microsoft 365 suite, allowing organizations to manage corporate messaging without maintaining their own mail servers.
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Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
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.