- A
Microsoft Entra ID B2B collaboration
Why wrong: B2B collaboration is for inviting external users to access your organization's resources with their own work or school identities, not social identities.
- B
Microsoft Entra ID B2C
Microsoft Entra ID B2C is designed for customer-facing applications. It supports social identity providers and custom policies for registration and branding.
- C
Microsoft Entra ID guest accounts
Why wrong: Guest accounts are part of B2B collaboration and are intended for partner access, not external customer registration with social accounts.
- D
Managed identities
Why wrong: Managed identities are used for Azure resources to authenticate without credentials, not for external customer sign-in.
SC-900 Describe the capabilities of Microsoft Entra Practice Question
This SC-900 practice question tests your understanding of describe the capabilities of microsoft entra. 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 wants to allow external customers to sign in to their custom web application using their own social identities, such as Google or Facebook. They also need to support self-service registration and custom branding for the sign-in pages. Which Microsoft Entra External ID solution should they use?
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 ID B2C
Microsoft Entra ID B2C (Business-to-Consumer) is the correct solution because it is specifically designed for external customer identity and access management, supporting social identity providers (Google, Facebook, etc.) via OAuth 2.0 and OpenID Connect, self-service registration, and full customization of sign-in pages (branding, HTML, CSS). This aligns exactly with the requirements for a customer-facing web application with social sign-in and custom branding.
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.
- ✗
Microsoft Entra ID B2B collaboration
Why it's wrong here
B2B collaboration is for inviting external users to access your organization's resources with their own work or school identities, not social identities.
- ✓
Microsoft Entra ID B2C
Why this is correct
Microsoft Entra ID B2C is designed for customer-facing applications. It supports social identity providers and custom policies for registration and branding.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
Microsoft Entra ID guest accounts
Why it's wrong here
Guest accounts are part of B2B collaboration and are intended for partner access, not external customer registration with social accounts.
- ✗
Managed identities
Why it's wrong here
Managed identities are used for Azure resources to authenticate without credentials, not for external customer sign-in.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates often confuse B2B collaboration (for external partners) with B2C (for external customers), mistakenly thinking B2B can handle social identities and self-service registration, but B2B lacks those capabilities and is designed for federated business accounts.
Detailed technical explanation
How to think about this question
Under the hood, Microsoft Entra ID B2C uses a policy-based framework (user flows) that orchestrate the OAuth 2.0 authorization code flow with PKCE, allowing integration with social IdPs via their respective OAuth/OpenID Connect endpoints. A subtle behavior is that B2C tenants are separate from regular Azure AD tenants, and custom branding is applied at the user flow level, not the tenant level, enabling different branding for different customer journeys. In a real-world scenario, a retail company might use B2C to allow customers to sign up with Google, collect profile attributes during self-service registration, and display a branded login page that matches the company's website theme.
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 company's IT admin needs to give a contractor read-only access to production logs without sharing account credentials. Using role-based access control (RBAC) and temporary scoped permissions — not a permanent shared password — is the correct pattern. Questions like this test whether you can apply least-privilege access across cloud identity services.
What to study next
Got this wrong? Here's your next step.
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FAQ
Questions learners often ask
What does this SC-900 question test?
Describe the capabilities of Microsoft Entra — This question tests Describe the capabilities of Microsoft Entra — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Microsoft Entra ID B2C — Microsoft Entra ID B2C (Business-to-Consumer) is the correct solution because it is specifically designed for external customer identity and access management, supporting social identity providers (Google, Facebook, etc.) via OAuth 2.0 and OpenID Connect, self-service registration, and full customization of sign-in pages (branding, HTML, CSS). This aligns exactly with the requirements for a customer-facing web application with social sign-in and custom branding.
What should I do if I get this SC-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.
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Last reviewed: Jun 11, 2026
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