- A
Configure the sensitivity label with encryption and a rights management template that prohibits forwarding
Sensitivity labels support encryption and usage rights such as 'Do Not Forward'.
- B
Create a DLP policy that detects the 'Confidential' label and applies encryption
Why wrong: DLP can act on labels but is not the primary method; the label itself can enforce encryption.
- C
Use the Azure Information Protection unified labeling scanner
Why wrong: The scanner is for on-premises files, not Exchange Online emails.
- D
Apply a retention label that triggers encryption
Why wrong: Retention labels do not provide encryption.
Question 1,282 of 1,411
SC-900 Practice Question: Describe the capabilities of Microsoft compliance solutions
This SC-900 practice question tests your understanding of describe the capabilities of microsoft compliance solutions. The scenario asks you to isolate a root cause — eliminate options that address a different problem before choosing. 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 organization uses Microsoft Purview for data governance. You need to ensure that when a user marks an email as 'Confidential' using a sensitivity label, the email is automatically encrypted and cannot be forwarded. What configuration is required?
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
✓
Configure the sensitivity label with encryption and a rights management template that prohibits forwarding
Option A is correct because Microsoft Purview sensitivity labels can be configured with encryption settings that use Azure Rights Management (Azure RMS) to enforce usage restrictions. By selecting the 'Do Not Forward' template, the email is automatically encrypted and the recipient cannot forward, copy, or print the message, meeting the requirement.
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.
- ✓
Configure the sensitivity label with encryption and a rights management template that prohibits forwarding
Why this is correct
Sensitivity labels support encryption and usage rights such as 'Do Not Forward'.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
Create a DLP policy that detects the 'Confidential' label and applies encryption
Why it's wrong here
DLP can act on labels but is not the primary method; the label itself can enforce encryption.
- ✗
Use the Azure Information Protection unified labeling scanner
Why it's wrong here
The scanner is for on-premises files, not Exchange Online emails.
- ✗
Apply a retention label that triggers encryption
Why it's wrong here
Retention labels do not provide encryption.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates often confuse the role of DLP policies with sensitivity labels, assuming DLP can enforce encryption, when in fact encryption is a native capability of sensitivity labels using Azure RMS templates.
Detailed technical explanation
How to think about this question
Under the hood, the 'Do Not Forward' template in Azure RMS issues a use license that restricts the recipient's rights to forward, copy, or print the email, enforced by the Rights Management Service (RMS) client. The encryption is applied at the message level using the Cryptographic Message Syntax (CMS) standard, and the decryption key is bound to the recipient's Azure AD identity. In a real-world scenario, if a user manually applies a 'Confidential' label, the label's encryption settings automatically invoke the RMS template, ensuring compliance even if the email is sent to external recipients.
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 cloud solutions architect for a retail company is evaluating services for a new workload. The correct answer here reflects best practice for the specific scenario described — not a general cloud recommendation. Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option. Cloud exam questions reward reading the constraint carefully: the same technology can be right or wrong depending on the use case.
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 compliance solutions — This question tests Describe the capabilities of Microsoft compliance solutions — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Configure the sensitivity label with encryption and a rights management template that prohibits forwarding — Option A is correct because Microsoft Purview sensitivity labels can be configured with encryption settings that use Azure Rights Management (Azure RMS) to enforce usage restrictions. By selecting the 'Do Not Forward' template, the email is automatically encrypted and the recipient cannot forward, copy, or print the message, meeting the requirement.
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: Jul 4, 2026
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.
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