- A
Enable 'Create database' in the tenant settings
Why wrong: This setting only allows creation of Dataverse databases within existing environments, not full environments.
- B
Enable 'Create solutions' in the Power Platform admin center
Why wrong: This setting controls solution creation, not environment creation.
- C
Enable 'Create environments' in the Power Platform admin center tenant settings
This setting controls whether users can create environments.
- D
Enable 'Create apps' in the Power Platform admin center
Why wrong: This setting controls app creation, not environment creation.
PL-900 Practice Question: Manage the Microsoft Power Platform environment
This PL-900 practice question tests your understanding of manage the microsoft power platform environment. 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 is implementing Microsoft Power Platform and needs to ensure that only licensed users can create environments. Which setting should be enabled?
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
Enable 'Create environments' in the Power Platform admin center tenant settings
Option C is correct because the 'Create environments' setting in the Power Platform admin center tenant settings is the specific control that restricts environment creation to licensed users only. By default, this setting is enabled for all users, but administrators can disable it to limit creation to users with a Power Platform license (e.g., Power Apps per user plan, Power Automate per user plan, or Dynamics 365 licenses). This ensures compliance with licensing requirements and prevents unlicensed users from consuming capacity.
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.
- ✗
Enable 'Create database' in the tenant settings
Why it's wrong here
This setting only allows creation of Dataverse databases within existing environments, not full environments.
- ✗
Enable 'Create solutions' in the Power Platform admin center
Why it's wrong here
This setting controls solution creation, not environment creation.
- ✓
Enable 'Create environments' in the Power Platform admin center tenant settings
Why this is correct
This setting controls whether users can create environments.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
Enable 'Create apps' in the Power Platform admin center
Why it's wrong here
This setting controls app creation, not environment creation.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates confuse environment-level permissions (like 'Create database' or 'Create apps') with the tenant-level setting that controls environment creation, leading them to select a granular permission that does not address the licensing requirement.
Detailed technical explanation
How to think about this question
Under the hood, the 'Create environments' setting is stored as a tenant-level policy in the Power Platform admin center's Tenant Settings section, enforced via the Azure Active Directory (now Microsoft Entra ID) security group membership or direct user license assignment. When disabled, the Power Platform API (e.g., the ProvisionInstance method) checks the user's license entitlement before allowing environment creation, and unlicensed users receive an HTTP 403 Forbidden error. In a real-world scenario, a global administrator might disable this setting to prevent accidental environment creation by non-admins, which could exhaust the tenant's allocated Dataverse storage capacity.
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 cloud solutions architect for a retail company is evaluating services for a new workload. The correct answer here reflects best practice for the specific scenario described — not a general cloud recommendation. Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option. Cloud exam questions reward reading the constraint carefully: the same technology can be right or wrong depending on the use case.
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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Manage the Microsoft Power Platform environment — study guide chapter
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FAQ
Questions learners often ask
What does this PL-900 question test?
Manage the Microsoft Power Platform environment — This question tests Manage the Microsoft Power Platform environment — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Enable 'Create environments' in the Power Platform admin center tenant settings — Option C is correct because the 'Create environments' setting in the Power Platform admin center tenant settings is the specific control that restricts environment creation to licensed users only. By default, this setting is enabled for all users, but administrators can disable it to limit creation to users with a Power Platform license (e.g., Power Apps per user plan, Power Automate per user plan, or Dynamics 365 licenses). This ensures compliance with licensing requirements and prevents unlicensed users from consuming capacity.
What should I do if I get this PL-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 24, 2026
This PL-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 PL-900 exam.
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