Question 152 of 1,411

Describe the capabilities of Microsoft security solutions →hardMultiple ChoiceObjective-mapped

Quick Answer

The answer is to create a data loss prevention (DLP) policy in Microsoft Purview that detects the 'Highly Confidential' label and blocks sharing with external users. This is correct because a DLP policy can inspect sensitivity labels applied to documents and enforce actions like blocking external sharing, whereas auto-labeling only applies labels, retention policies manage data lifecycle, and conditional access policies control access based on user or device conditions, not document-level labels. On the SC-900 exam, this question tests your understanding of how Microsoft Purview DLP integrates with sensitivity labels to enforce compliance with regulations like HIPAA and GDPR; a common trap is confusing DLP’s content-based blocking with conditional access or retention policies. Remember the memory tip: DLP is the “gatekeeper” that reads labels and blocks sharing, while other tools handle labeling, retention, or access separately.

SC-900 Practice Question: Describe the capabilities of Microsoft security solutions

This SC-900 practice question tests your understanding of describe the capabilities of microsoft security solutions. Match the stated requirement to the specific cloud service, access model, or configuration option — many options are valid in isolation but not for this scenario. 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.

You are the security administrator for a large healthcare organization that uses Microsoft 365 E5. The organization must comply with HIPAA and GDPR regulations. You have implemented Microsoft Purview Information Protection with sensitivity labels to classify and protect patient data. Recently, the compliance team identified that some documents containing Protected Health Information (PHI) are being shared externally without protection. You need to prevent users from sharing documents classified as 'Highly Confidential' with external users unless the document is encrypted and labeled. Additionally, you must ensure that any external sharing of such documents is automatically blocked. You have the following options available. Which action should you take?

Question 1hardmultiple choice

Read the full NAT/PAT explanation →

A
Configure auto-labeling for SharePoint to automatically apply the 'Highly Confidential' label to all documents containing PHI
Why wrong: Auto-labeling does not enforce sharing restrictions; it only applies labels.
B
Create a data loss prevention (DLP) policy in Microsoft Purview that detects the 'Highly Confidential' label and blocks sharing with external users
DLP policies can use sensitivity labels as conditions and take actions like blocking external sharing.
C
Configure a conditional access policy in Microsoft Entra ID to block external access to SharePoint sites containing PHI
Why wrong: Conditional access policies control access at the sign-in level, not document-level labels.
D
Create a retention policy for SharePoint that prevents deletion of documents with the 'Highly Confidential' label
Why wrong: Retention policies manage data retention, not sharing.

Full breakdown with real-world context →

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

✓

Create a data loss prevention (DLP) policy in Microsoft Purview that detects the 'Highly Confidential' label and blocks sharing with external users

Option A is correct because a DLP policy can detect documents with the 'Highly Confidential' label and block external sharing. Option B is incorrect because auto-labeling applies labels but does not block sharing. Option C is incorrect because retention policies do not control sharing. Option D is incorrect because conditional access policies do not inspect document labels.

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.

✗
Configure auto-labeling for SharePoint to automatically apply the 'Highly Confidential' label to all documents containing PHI
Why it's wrong here
Auto-labeling does not enforce sharing restrictions; it only applies labels.
✓
Create a data loss prevention (DLP) policy in Microsoft Purview that detects the 'Highly Confidential' label and blocks sharing with external users
Why this is correct
DLP policies can use sensitivity labels as conditions and take actions like blocking external sharing.
Related concept
Static NAT maps one inside address to one outside address.
✗
Configure a conditional access policy in Microsoft Entra ID to block external access to SharePoint sites containing PHI
Why it's wrong here
Conditional access policies control access at the sign-in level, not document-level labels.
✗
Create a retention policy for SharePoint that prevents deletion of documents with the 'Highly Confidential' label
Why it's wrong here
Retention policies manage data retention, not sharing.

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 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.

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-900 NAT questions on configuration and troubleshooting.

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FAQ

Questions learners often ask

What does this SC-900 question test?

Describe the capabilities of Microsoft security solutions — This question tests Describe the capabilities of Microsoft security solutions — Static NAT maps one inside address to one outside address..

What is the correct answer to this question?

The correct answer is: Create a data loss prevention (DLP) policy in Microsoft Purview that detects the 'Highly Confidential' label and blocks sharing with external users — Option A is correct because a DLP policy can detect documents with the 'Highly Confidential' label and block external sharing. Option B is incorrect because auto-labeling applies labels but does not block sharing. Option C is incorrect because retention policies do not control sharing. Option D is incorrect because conditional access policies do not inspect document labels.

What should I do if I get this SC-900 question wrong?

What is the key concept behind this question?

Static NAT maps one inside address to one outside address.

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