Question 1,001 of 1,411

Quick Answer

The answer is Microsoft Defender for Identity (MDI), the correct choice because it is purpose-built for on-premises AD threat detection, analyzing Active Directory traffic to identify lateral movement, pass-the-hash attempts, and anomalous service account behavior. Unlike broader endpoint solutions, MDI installs as a sensor on domain controllers to directly monitor authentication patterns and Kerberos anomalies, then feeds these alerts into Microsoft Defender for Cloud for unified hybrid visibility. On the SC-900 exam, this question tests your understanding of how Microsoft’s security portfolio maps to specific workloads—a common trap is confusing MDI with Microsoft Defender for Identity’s cloud-only cousin, Microsoft Entra ID Protection, which lacks on-premises sensor capabilities. Remember the memory tip: “MDI for DCs” (Domain Controllers) to recall that Defender for Identity protects on-premises directory services, while cloud identity threats fall under Entra ID Protection.

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.

A security team manages a hybrid environment with on-premises Windows servers and Azure VMs. They need a solution that can detect lateral movement attacks, pass-the-hash attempts, and anomalous service account behavior on the on-premises Active Directory environment. They also want these alerts to be integrated into Microsoft Defender for Cloud for centralized monitoring. Which Microsoft security solution should they deploy on their on-premises domain controllers?

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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

Microsoft Defender for Identity

Microsoft Defender for Identity (MDI) is the correct solution because it is specifically designed to monitor on-premises Active Directory traffic and detect advanced threats like lateral movement, pass-the-hash, and anomalous service account behavior. It integrates directly with Microsoft Defender for Cloud to provide centralized alerting and investigation across hybrid environments.

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 Defender for Office 365

    Why it's wrong here

    Microsoft Defender for Office 365 protects against threats in email, links, and collaboration tools, not against attacks on on-premises Active Directory.

  • Microsoft Defender for Identity

    Why this is correct

    Defender for Identity is a cloud-based security solution that integrates with on-premises Active Directory to detect suspicious user and entity behavior, including lateral movement and pass-the-hash attacks.

    Related concept

    Read the scenario before looking for a memorised answer.

  • Microsoft Defender for Endpoint

    Why it's wrong here

    Defender for Endpoint provides endpoint detection and response (EDR) on devices, but its focus is on the operating system and applications, not specifically on Active Directory security.

  • Microsoft Intune

    Why it's wrong here

    Microsoft Intune is a mobile device management (MDM) and mobile application management (MAM) service, not a security detection solution for Active Directory.

Common exam traps

Common exam trap: answer the scenario, not the keyword

The trap here is that candidates may confuse Microsoft Defender for Identity with Microsoft Defender for Endpoint, assuming endpoint protection covers identity threats, but MDI is the only solution that directly monitors on-premises Active Directory for lateral movement and pass-the-hash attacks.

Detailed technical explanation

How to think about this question

Microsoft Defender for Identity uses a lightweight sensor installed on domain controllers to capture and parse network traffic (e.g., Kerberos, NTLM, LDAP) and Windows Event Logs (e.g., 4624, 4648, 4768). It builds behavioral baselines for users and service accounts, enabling detection of anomalies such as a service account authenticating from an unusual IP or performing a DCSync attack. In a real-world scenario, MDI can alert when an attacker uses Mimikatz to extract credentials and then attempts pass-the-hash to move laterally to a domain admin account.

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 security solutions — This question tests Describe the capabilities of Microsoft security solutions — Read the scenario before looking for a memorised answer..

What is the correct answer to this question?

The correct answer is: Microsoft Defender for Identity — Microsoft Defender for Identity (MDI) is the correct solution because it is specifically designed to monitor on-premises Active Directory traffic and detect advanced threats like lateral movement, pass-the-hash, and anomalous service account behavior. It integrates directly with Microsoft Defender for Cloud to provide centralized alerting and investigation across hybrid environments.

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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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.