The answer is to enable TDE with customer-managed keys in Azure Key Vault and configure automatic key rotation. This combination satisfies all requirements because Transparent Data Encryption (TDE) with customer-managed keys encrypts the entire database at rest using a key you control in Azure Key Vault, while automatic key rotation handles the 90-day rotation policy without manual intervention. Point-in-time restore is a built-in feature of Azure SQL Database, so no additional configuration is needed for that requirement. On the Microsoft Cybersecurity Architect exam, this scenario tests your understanding of the distinction between TDE and Always Encrypted—a common trap is selecting Always Encrypted for column-level encryption, but the question specifies “all data at rest,” which TDE covers. Remember the memory tip: “TDE for the whole house, Always Encrypted for the jewelry box.”
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.
A company is deploying a new application that will store sensitive customer data in Azure SQL Database. The security team requires that all data at rest be encrypted using a customer-managed key stored in Azure Key Vault. Additionally, they need to ensure that the database can be restored to a point in time and that the encryption key is rotated every 90 days. Which combination of features should you configure?
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Enable TDE with customer-managed keys in Azure Key Vault and configure automatic key rotation.
Transparent Data Encryption (TDE) with customer-managed keys in Azure Key Vault meets the encryption requirement. Automatic key rotation via Key Vault ensures rotation every 90 days. Point-in-time restore (PITR) is built into Azure SQL. Always Encrypted is column-level and not required. Option A correctly combines TDE with customer-managed keys and automatic rotation.
Key principle: NAT direction and interface roles matter as much as the IP address mapping. Inside/outside designation controls which traffic is translated.
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 TDE with service-managed keys and use Azure Policy to enforce rotation.
Why it's wrong here
Service-managed keys do not support customer control or rotation policy.
✗
Use Always Encrypted with column master key in Azure Key Vault and manual rotation.
Why it's wrong here
Always Encrypted is column-level and not for full database encryption; manual rotation is not automated.
✗
Use Azure Storage Service Encryption with customer-managed keys and enable soft delete.
Why it's wrong here
Storage Service Encryption is for Azure Storage, not Azure SQL Database.
✓
Enable TDE with customer-managed keys in Azure Key Vault and configure automatic key rotation.
Why this is correct
TDE with CMK encrypts data at rest; automatic rotation handles periodic rotation.
Related concept
Static NAT maps one inside address to one outside address.
Common exam traps
Common exam trap: NAT rules depend on direction and matching traffic
NAT is not only about the public address. The inside/outside interface roles and the ACL or rule that matches traffic are just as important.
Detailed technical explanation
How to think about this question
NAT questions usually test address translation, overload/PAT behaviour, static mappings and whether the right traffic is being translated. Read the interface direction and address terms carefully.
KKey Concepts to Remember
Static NAT maps one inside address to one outside address.
PAT allows many inside hosts to share one public address using ports.
Inside local and inside global describe the private and translated addresses.
NAT ACLs identify traffic for translation, not always security filtering.
TExam Day Tips
→Identify inside and outside interfaces first.
→Check whether the scenario needs static NAT, dynamic NAT or PAT.
→Do not confuse NAT matching ACLs with normal packet-filtering intent.
Key takeaway
NAT direction and interface roles matter as much as the IP address mapping. Inside/outside designation controls which traffic is translated.
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 the four NAT address types (inside local, inside global, outside local, outside global), PAT port overload, and static vs dynamic NAT use cases. Then practise related SC-100 NAT questions on configuration and troubleshooting.
Design security solutions for applications and data — This question tests Design security solutions for applications and data — Static NAT maps one inside address to one outside address..
What is the correct answer to this question?
The correct answer is: Enable TDE with customer-managed keys in Azure Key Vault and configure automatic key rotation. — Transparent Data Encryption (TDE) with customer-managed keys in Azure Key Vault meets the encryption requirement. Automatic key rotation via Key Vault ensures rotation every 90 days. Point-in-time restore (PITR) is built into Azure SQL. Always Encrypted is column-level and not required. Option A correctly combines TDE with customer-managed keys and automatic rotation.
What should I do if I get this SC-100 question wrong?
Review the four NAT address types (inside local, inside global, outside local, outside global), PAT port overload, and static vs dynamic NAT use cases. Then practise related SC-100 NAT questions on configuration and troubleshooting.
What is the key concept behind this question?
Static NAT maps one inside address to one outside address.
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Question Discussion
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