SC-900 Describe the capabilities of Microsoft Entra Practice Question
A company wants to allow employees to use their corporate Microsoft Entra ID credentials to sign in to third-party SaaS applications like Salesforce and ServiceNow. Which feature provides this capability?
⚠ Common exam trap
Candidates often confuse B2B collaboration (external user access) with federation (corporate user SSO to external apps), leading them to select Option B instead of A.
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
✓
Microsoft Entra federation with SaaS applications
Microsoft Entra federation with SaaS applications (Option A) enables single sign-on (SSO) by establishing a trust relationship between Microsoft Entra ID and third-party SaaS apps like Salesforce and ServiceNow. This allows users to authenticate using their corporate Entra ID credentials via federation protocols such as SAML 2.0 or OpenID Connect, eliminating the need for separate credentials.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✓
Microsoft Entra federation with SaaS applications
Why this is correct
Microsoft Entra federation with SaaS applications is the correct solution because it enables employees to use their existing corporate Microsoft Entra ID credentials for single sign-on (SSO) to third-party Software as a Service (SaaS) applications. This process involves configuring Microsoft Entra ID as the identity provider, allowing it to authenticate users and securely pass identity assertions (e.g., via SAML or OIDC) to the SaaS application, eliminating the need for separate usernames and passwords. This enhances user experience, improves security posture, and centralizes identity management.
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Microsoft Entra B2B collaboration
Why it's wrong here
Microsoft Entra B2B collaboration is incorrect because its primary purpose is to allow external users (guests) from other organizations or personal accounts to access your organization's applications and resources. It facilitates inbound access for external identities into your tenant, rather than enabling your internal employees to sign out to third-party SaaS applications using their corporate credentials. This service is designed for guest user management, not for federating internal user identities to external services.
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Microsoft Entra Identity Protection
Why it's wrong here
Microsoft Entra Identity Protection is incorrect as it is a security service focused on detecting, investigating, and remediating identity-based risks within your Microsoft Entra ID environment. While crucial for protecting user accounts and sign-ins, it does not provide the foundational mechanism for employees to establish initial access or single sign-on to external SaaS applications. Its role is to monitor and protect existing access, not to enable the access itself.
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Microsoft Entra Privileged Identity Management
Why it's wrong here
Microsoft Entra Privileged Identity Management (PIM) is incorrect because its function is to manage, control, and monitor access to important resources within your organization by providing just-in-time and just-enough access to privileged roles. PIM helps mitigate the risks of excessive, unnecessary, or misused access permissions for administrative accounts within the Microsoft Entra tenant, rather than facilitating general user access to external third-party SaaS applications.
Go deeper
Related to this question
Learn chapter
Microsoft Entra ID
Key term
Single sign-on
Single sign-on (SSO) is an authentication method that allows a user to log in once and gain access to multiple applications or systems without re-entering credentials.
Key term
SAML
Security Assertion Markup Language (SAML) is an open standard that allows one system to securely tell another system that a user is who they say they are, without sharing the user's password.
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JA
Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
This SC-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 SC-900 exam.