The answer is a DLP policy for Exchange Online with the condition 'content contains sensitive information type' and 'shared with people outside my organization'. This configuration directly addresses the need to prevent sharing sensitive data via email with external recipients because Microsoft Purview DLP policies can be scoped to specific workloads like Exchange Online and use conditions that trigger actions when content matches a sensitive information type—such as credit card numbers—and is shared externally, while still allowing internal sharing. On the SC-900 exam, this tests your understanding of how DLP policies enforce data protection at the content level, distinguishing them from other tools: sensitivity labels apply metadata but don’t block sharing, retention policies manage lifecycle not transmission, and Conditional Access controls access not data movement. A common trap is confusing DLP with labeling or access controls, so remember that DLP is the only native solution that inspects and blocks outbound sensitive data in transit. Memory tip: "DLP blocks the leak, labels just mark the leak."
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. This is a configuration task: choose the command set that satisfies every stated requirement. Small differences — like 'secret' vs 'password' or 'transport input ssh' vs 'all' — change whether the answer is correct. 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.
Your company is implementing Microsoft Purview Data Loss Prevention (DLP). You need to prevent users from sharing sensitive data like credit card numbers via email with external recipients, but allow internal sharing. What should you configure?
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
A DLP policy for Exchange Online with a condition 'content contains sensitive information type' and 'shared with people outside my organization'
Option A is correct because DLP policies can be scoped to specific locations (e.g., Exchange Online) and set conditions such as 'when shared with external users'. Option B is wrong because sensitivity labels are applied manually or automatically but do not enforce sharing restrictions. Option C is wrong because retention policies do not block sharing. Option D is wrong because Microsoft Entra ID Conditional Access controls access, not data sharing.
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.
✗
Sensitivity labels with encryption
Why it's wrong here
Encryption protects data but does not block sharing; users could still send encrypted emails.
✓
A DLP policy for Exchange Online with a condition 'content contains sensitive information type' and 'shared with people outside my organization'
Why this is correct
DLP policies can block external sharing of sensitive data while allowing internal sharing.
Related concept
Read the scenario before looking for a memorised answer.
✗
Retention labels and policies
Why it's wrong here
Retention policies manage data lifecycle, not sharing.
✗
Conditional Access policies with session controls
Why it's wrong here
Conditional Access controls access at sign-in, not data sharing after access is granted.
Common exam traps
Common exam trap: answer the scenario, not the keyword
Many certification questions include familiar terms but test a specific constraint. Read the exact wording before choosing an answer that is generally true but wrong for this case.
Detailed technical explanation
How to think about this question
This question should be treated as a scenario, not a definition check. Identify the problem, the constraint and the best action. Then compare each option against those facts.
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.
Use explanations to understand the rule behind the answer.
TExam Day Tips
→Underline the problem statement mentally.
→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.
Related glossary terms
Concepts from this question explained
These glossary pages explain the core terms tested in this SC-900 question in full detail.
Identify which SC-900 exam domain this question belongs to, then review the specific concept being tested. Practise related questions in that domain and focus on understanding why each wrong answer is tempting — not just why the correct answer is right.
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: A DLP policy for Exchange Online with a condition 'content contains sensitive information type' and 'shared with people outside my organization' — Option A is correct because DLP policies can be scoped to specific locations (e.g., Exchange Online) and set conditions such as 'when shared with external users'. Option B is wrong because sensitivity labels are applied manually or automatically but do not enforce sharing restrictions. Option C is wrong because retention policies do not block sharing. Option D is wrong because Microsoft Entra ID Conditional Access controls access, not data sharing.
What should I do if I get this SC-900 question wrong?
Identify which SC-900 exam domain this question belongs to, then review the specific concept being tested. Practise related questions in that domain and focus on understanding why each wrong answer is tempting — not just why the correct answer is right.
What is the key concept behind this question?
Read the scenario before looking for a memorised answer.
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Question Discussion
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