The answer is that the storage account creation is denied. This occurs because the custom Azure Policy definition uses the Deny effect to block any storage account where the networkAcls.defaultAction is not set to 'Deny', meaning any configuration allowing open network access—such as defaultAction set to Allow—triggers the policy to prevent provisioning entirely. On the Microsoft Cybersecurity Architect exam, this scenario tests your understanding of how Azure Policy enforces security controls at scale, often appearing in questions about network isolation and compliance. A common trap is confusing Deny with Audit or Modify; remember that Deny actively blocks the resource, while Audit only logs non-compliance. Memory tip: think of "Deny as the bouncer" that stops the resource at the door if defaultAction is not locked down to Deny.
SC-100 Practice Question: Design security solutions for applications and data
This SC-100 practice question tests your understanding of design security solutions for applications and data. This is a configuration task: choose the command set that satisfies every stated requirement. Small differences — like 'secret' vs 'password' or 'transport input ssh' vs 'all' — change whether the answer is correct. 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.
Refer to the exhibit. You are evaluating a custom Azure Policy definition for storage accounts. The policy is assigned with effect set to 'Deny'. An administrator attempts to create a new storage account with network rules configured to allow all traffic (defaultAction set to Allow). What will happen?
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
The storage account creation is denied.
Option B is correct because the policy denies creation when networkAcls.defaultAction is not 'Deny'. Option A is wrong because the policy denies, not audits. Option C is wrong because the policy does not modify the resource. Option D is wrong because the policy explicitly denies.
Key principle: ACLs process entries top to bottom and stop at the first match. Entry order and interface direction matter as much as the permit or deny statement.
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 storage account creation is denied.
Why this is correct
The policy checks if defaultAction is not 'Deny' and then applies the Deny effect, blocking creation.
Related concept
Standard ACLs match source addresses.
✗
The storage account is created, and the network rules are automatically changed to deny all traffic.
Why it's wrong here
Azure Policy does not modify resources; it denies or audits based on the condition.
✗
The storage account is created, and an audit event is generated.
Why it's wrong here
The effect is 'Deny', not 'Audit', so the creation is blocked.
✗
The storage account is created successfully, and no action is taken.
Why it's wrong here
The policy is enforced and will deny the creation.
Common exam traps
Common exam trap: ACLs stop at the first match
ACLs are processed top to bottom. The first matching entry wins, and an implicit deny usually exists at the end.
Detailed technical explanation
How to think about this question
ACL questions test precision: source, destination, protocol, port and direction. A generally correct ACL can still fail if it is applied on the wrong interface or in the wrong direction.
KKey Concepts to Remember
Standard ACLs match source addresses.
Extended ACLs can match source, destination, protocol and ports.
The first matching ACL entry is used.
There is usually an implicit deny at the end.
TExam Day Tips
→Check inbound versus outbound direction.
→Read the ACL from top to bottom.
→Look for a broader permit or deny above the intended line.
Key takeaway
ACLs process entries top to bottom and stop at the first match. Entry order and interface direction matter as much as the permit or deny statement.
Real-world example
How this comes up in practice
A media company stores terabytes of video archives that are accessed once a year for audit purposes. Moving these objects to a cold storage tier (Azure Archive, S3 Glacier, or Google Nearline) costs a fraction of hot storage. Questions like this test whether you understand storage tiers, access frequency tradeoffs, and retrieval latency requirements.
Related glossary terms
Concepts from this question explained
These glossary pages explain the core terms tested in this SC-100 question in full detail.
Review ACL processing order, placement rules (standard near destination, extended near source), and inbound vs outbound direction. Study wildcard masks and implicit deny. Then practise related SC-100 ACL questions on filtering logic and placement.
Design security solutions for applications and data — This question tests Design security solutions for applications and data — Standard ACLs match source addresses..
What is the correct answer to this question?
The correct answer is: The storage account creation is denied. — Option B is correct because the policy denies creation when networkAcls.defaultAction is not 'Deny'. Option A is wrong because the policy denies, not audits. Option C is wrong because the policy does not modify the resource. Option D is wrong because the policy explicitly denies.
What should I do if I get this SC-100 question wrong?
Review ACL processing order, placement rules (standard near destination, extended near source), and inbound vs outbound direction. Study wildcard masks and implicit deny. Then practise related SC-100 ACL questions on filtering logic and placement.
What is the key concept behind this question?
Standard ACLs match source addresses.
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