Question 895 of 1,639
Mitigate threats using Microsoft Defender XDRmediumMultiple ChoiceObjective-mapped

Quick Answer

The answer is to use the Add indicator feature to create a custom IOC for the file hash with the action set to Allow. This is correct because the Add indicator function in Microsoft 365 Defender allows analysts to override automated verdicts at a granular level, enabling a specific trusted application to run while preserving the block on other malicious files. On the SC-200 exam, this scenario tests your understanding of how custom indicators of compromise (IOCs) interact with automated investigation and response (AIR) workflows—a common trap is confusing this with modifying the automation level or adding an exclusion, which would broadly weaken security. Remember the key distinction: Add indicator targets a specific file hash, not a folder or process, and the Allow action is a precise override, not a global bypass. A useful memory tip is “Hash to Allow, not blanket wallow”—meaning you allow by file hash, not by broad exclusion.

SC-200 Mitigate threats using Microsoft Defender XDR Practice Question

This SC-200 practice question tests your understanding of mitigate threats using microsoft defender xdr. Read the scenario carefully and evaluate each option against the stated constraints before committing to an answer. A key principle to apply: custom indicators of compromise (IOCs) allow security teams to define specific detection, prevention, or allow rules.. 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.

An organization uses Microsoft 365 Defender. An automated investigation on a device identifies a malicious file and blocks it. The analyst now wants to allow a specific trusted application that was incorrectly blocked, while keeping other malicious files blocked. Which action should the analyst take from the device's entity page?

Question 1mediummultiple choice
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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

Use the 'Add indicator' feature to create a custom IOC for the file hash with action 'Allow'.

The 'Add indicator' feature in Microsoft Defender XDR allows analysts to create custom indicators of compromise (IOCs) based on file hashes, IPs, or domains. By setting the action to 'Allow' for the specific file hash, the analyst can override the automated block for that trusted application while keeping other malicious files blocked. This is the correct approach because it provides granular control without affecting the overall automated investigation settings.

Key principle: Custom indicators of compromise (IOCs) allow security teams to define specific detection, prevention, or allow rules.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • Initiate a live response session and delete the file manually.

    Why it's wrong here

    Live response allows direct interaction, but deleting the file does not allow it; it removes it. The goal is to allow the file, not delete it.

  • Use the 'Add indicator' feature to create a custom IOC for the file hash with action 'Allow'.

    Why this is correct

    Adding a custom indicator with action 'Allow' tells Defender to treat that file as clean, overriding automation blocks.

    Related concept

    Custom indicators of compromise (IOCs) allow security teams to define specific detection, prevention, or allow rules.

  • Change the automated investigation settings to 'No action' and rerun investigation.

    Why it's wrong here

    Changing global settings affects future investigations, not the current block. It does not allow the specific file.

  • Collect the file for analysis; the allow decision must be made by Microsoft after analysis.

    Why it's wrong here

    Collecting for analysis is for submission to Microsoft, but it does not immediately allow the file. The analyst can manually allow via indicator.

Common exam traps

Common exam trap: answer the scenario, not the keyword

The trap here is that candidates may confuse the 'Add indicator' feature with manual file deletion or changing global investigation settings, not realizing that a custom IOC with an Allow action is the precise mechanism to override a block for a specific trusted file.

Detailed technical explanation

How to think about this question

The 'Add indicator' feature uses the Microsoft Defender XDR indicator API to create a custom IOC with a specified action (Allow, Audit, Block, or Warn). When an Allow indicator is created for a file hash, it is evaluated during the threat protection pipeline before automated actions, effectively whitelisting that file. This is particularly useful in scenarios where a legitimate application is falsely flagged by machine learning models or behavioral detections, allowing the analyst to maintain security posture without disrupting business operations.

KKey Concepts to Remember

  • Custom indicators of compromise (IOCs) allow security teams to define specific detection, prevention, or allow rules.
  • IOCs can be created for file hashes, certificates, IP addresses, and URLs.
  • An 'Allow' action on a file hash IOC overrides automated blocks for that specific file.
  • IOCs provide granular control to manage false positives and fine-tune Defender's behavior.

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

Custom indicators of compromise (IOCs) allow security teams to define specific detection, prevention, or allow rules.

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. Custom indicators of compromise (IOCs) allow security teams to define specific detection, prevention, or allow rules. 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.

Review custom indicators of compromise (IOCs) allow security teams to define specific detection, prevention, or allow rules., then practise related SC-200 questions on the same topic to reinforce the concept.

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FAQ

Questions learners often ask

What does this SC-200 question test?

Mitigate threats using Microsoft Defender XDR — This question tests Mitigate threats using Microsoft Defender XDR — Custom indicators of compromise (IOCs) allow security teams to define specific detection, prevention, or allow rules..

What is the correct answer to this question?

The correct answer is: Use the 'Add indicator' feature to create a custom IOC for the file hash with action 'Allow'. — The 'Add indicator' feature in Microsoft Defender XDR allows analysts to create custom indicators of compromise (IOCs) based on file hashes, IPs, or domains. By setting the action to 'Allow' for the specific file hash, the analyst can override the automated block for that trusted application while keeping other malicious files blocked. This is the correct approach because it provides granular control without affecting the overall automated investigation settings.

What should I do if I get this SC-200 question wrong?

Review custom indicators of compromise (IOCs) allow security teams to define specific detection, prevention, or allow rules., then practise related SC-200 questions on the same topic to reinforce the concept.

What is the key concept behind this question?

Custom indicators of compromise (IOCs) allow security teams to define specific detection, prevention, or allow rules.

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Last reviewed: Jun 11, 2026

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This SC-200 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 SC-200 exam.