CCNA Describe Microsoft 365 pricing, licensing, and support Questions

Multi-Selecthard

Which THREE of the following are benefits of the Microsoft 365 E5 license compared to E3?

Select 3 answers

A.Exchange Online

B.Power BI Pro

C.Microsoft Purview Communication Compliance

D.Microsoft Defender for Office 365 Plan 2

E.Microsoft Entra ID P1

AnswersB, C, D

E5 includes Power BI Pro, while E3 does not.

Why this answer

Power BI Pro is included with Microsoft 365 E5 but not with E3, enabling advanced data visualization and analytics capabilities. This is a key differentiator for organizations requiring self-service business intelligence tools integrated with Microsoft 365.

Exam trap

The trap here is that candidates often assume all core productivity services like Exchange Online are exclusive to higher tiers, when in fact they are baseline features across E3 and E5, while the real differentiators are advanced security, compliance, and analytics add-ons.

Practice this question →

Multi-Selectmedium

A company is choosing a Microsoft 365 plan for 150 users who need email, file storage, and Teams. They also need basic compliance features such as data retention policies and eDiscovery. Which TWO plans meet these requirements?

Select 2 answers

A.Microsoft 365 E1

B.Microsoft 365 E3

C.Microsoft 365 Business Premium

D.Microsoft 365 E5

E.Microsoft 365 Business Basic

AnswersB, C

E3 includes all required features and is suitable for any size.

Why this answer

Microsoft 365 E3 includes Exchange Online, SharePoint Online, and Teams, plus advanced compliance features like data retention policies and eDiscovery (Standard). Microsoft 365 Business Premium also includes these core services and compliance capabilities, making both suitable for 150 users needing email, file storage, Teams, and basic compliance.

Exam trap

The trap here is that candidates often assume only E3 or E5 can provide compliance features, forgetting that Microsoft 365 Business Premium also includes data retention policies and eDiscovery (Standard) for organizations under 300 users.

Practice this question →

MCQmedium

Your organization has 500 users with Microsoft 365 E3 licenses. You want to add security features such as Microsoft Defender for Office 365 (Plan 1) and Microsoft Purview Information Protection. Which licensing approach should you recommend?

A.Keep E3 and add Microsoft 365 E5 Compliance add-on

B.Keep E3 and add Microsoft 365 E5 Security add-on

C.Upgrade all users to Microsoft 365 E5

D.Keep E3 and use the Security & Compliance Center for E3

AnswerC

Upgrading all users to Microsoft 365 E5 is the correct choice because E5 directly includes both Defender for Office 365 Plan 1 and Microsoft Purview Information Protection. E5 bundles all E3 features with advanced security and compliance workloads, eliminating the need for additional add-ons and ensuring both the email protection and information protection requirements are met under a single license.

Why this answer

Microsoft 365 E5 includes both Defender for Office 365 (Plan 1) and Purview Information Protection (formerly Azure Information Protection P2) natively, whereas E3 requires separate add-ons. Upgrading all users to E5 is the simplest and most cost-effective licensing approach when both security features are needed for all 500 users, as it avoids the complexity and potential per-user cost of stacking multiple add-on SKUs.

Exam trap

The trap here is that candidates assume the E5 Security add-on or E5 Compliance add-on alone can cover both requirements, but each add-on only covers its respective domain (security or compliance), and neither alone includes both Defender for Office 365 (Plan 1) and Purview Information Protection.

How to eliminate wrong answers

Option A is wrong because the Microsoft 365 E5 Compliance add-on provides Purview Compliance features (e.g., eDiscovery, Audit) but does not include Defender for Office 365 (Plan 1), which is a security feature. Option B is wrong because the Microsoft 365 E5 Security add-on includes Defender for Office 365 (Plan 1) but does not include Purview Information Protection (which requires the E5 Compliance add-on or full E5). Option D is wrong because the Security & Compliance Center in E3 only offers basic security and compliance capabilities (e.g., limited DLP, basic audit) and does not include Defender for Office 365 (Plan 1) or Purview Information Protection, which require additional licensing.

Practice this question →

MCQeasy

A company with 200 employees needs to deploy Microsoft 365 Apps for Enterprise. They want to pay monthly and have no annual commitment. Which licensing program should they use?

A.Microsoft 365 Enterprise Agreement

B.Microsoft 365 Business Basic

C.Microsoft 365 Business Premium

D.Microsoft 365 E3

AnswerC

Microsoft 365 Business Premium is the correct choice because it includes the full Microsoft 365 Apps for Enterprise desktop applications, hosted Exchange, Teams, SharePoint, and advanced security features like Microsoft Defender for Office 365 and Intune, and it can be licensed on a true monthly basis with no annual commitment—making it a flexible, comprehensive solution for 200 employees.

Why this answer

Microsoft 365 Business Premium is the correct choice because it includes Microsoft 365 Apps for Enterprise (e.g., Word, Excel, PowerPoint) and is available as a monthly subscription with no annual commitment for organizations with up to 300 users. This aligns with the company's requirement of 200 employees and the desire for flexible, month-to-month billing.

Exam trap

The trap here is that candidates often confuse Microsoft 365 Business Premium with Microsoft 365 E3, assuming E3 is the only option for desktop Office apps, but Business Premium also includes Microsoft 365 Apps for Enterprise and is designed for smaller organizations with flexible monthly billing.

How to eliminate wrong answers

Option A is wrong because the Microsoft 365 Enterprise Agreement (EA) is a volume licensing program designed for large organizations (typically 250+ users) that requires a 3-year commitment, not monthly billing with no annual commitment. Option B is wrong because Microsoft 365 Business Basic does not include the desktop versions of Microsoft 365 Apps for Enterprise; it only provides web and mobile app access plus cloud services like Exchange Online. Option D is wrong because Microsoft 365 E3 is an enterprise-grade plan that includes Microsoft 365 Apps for Enterprise, but it is typically sold through Enterprise Agreement or CSP with annual commitments, and it is not the most straightforward option for a company of 200 employees seeking a simple monthly subscription without commitment.

Practice this question →

MCQmedium

A company has 500 users and is considering moving to Microsoft 365. They need to ensure that all users have access to Exchange Online, SharePoint Online, and Teams, and they want to use Microsoft Entra ID P1 for identity management. Which Microsoft 365 subscription should they choose?

A.Microsoft 365 E5

B.Microsoft 365 E3

C.Microsoft 365 Business Basic

D.Microsoft 365 Business Premium

AnswerB

Microsoft 365 E3 is an enterprise-level plan with no seat cap, making it suitable for 500 users. It includes Exchange Online, SharePoint Online, Teams, and Microsoft Entra ID P1 (Azure AD Premium P1), which provides the required identity and access management features. This plan delivers all necessary services at a lower cost than E5, making it the correct and most cost-effective choice for the scenario.

Why this answer

Microsoft 365 E3 includes Exchange Online, SharePoint Online, Teams, and Microsoft Entra ID P1, meeting all stated requirements. Unlike Business Premium, E3 has no user limit, making it suitable for 500 users.

Exam trap

Candidates often overlook the 300-user limit on Microsoft 365 Business plans and assume Business Premium is sufficient for any organization size. In this scenario, the company has 500 users, so an Enterprise plan (E3) is required.

How to eliminate wrong answers

Option A is wrong because Microsoft 365 E5 includes advanced security and compliance features (e.g., Microsoft Defender for Office 365, eDiscovery) that are not required, and it is more expensive than necessary. Option B is wrong because Microsoft 365 E3 includes Exchange Online, SharePoint Online, and Teams, but it only provides Microsoft Entra ID P1 as an add-on or through a separate license; it is not included by default in the E3 subscription. Option C is wrong because Microsoft 365 Business Basic includes Exchange Online, SharePoint Online, and Teams, but it does not include Microsoft Entra ID P1; it only provides Microsoft Entra ID Free, which lacks advanced identity management features.

Practice this question →