Question 779 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. 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.

Exhibit

{
  "LabelName": "Highly Confidential",
  "Tooltip": "This label is for highly confidential data.",
  "Actions": [
    {
      "ActionType": "Encrypt",
      "EncryptionSettings": {
        "EncryptionEnabled": true,
        "ProtectWithRightsManagement": true
      }
    },
    {
      "ActionType": "Marking",
      "MarkingSettings": {
        "HeaderText": "HIGHLY CONFIDENTIAL",
        "FooterText": "Do not forward"
      }
    }
  ]
}

Refer to the exhibit. You are reviewing a sensitivity label configuration in Microsoft Purview. Based on the exhibit, what is the result when a user applies this label to a document?

Exhibit

{
  "LabelName": "Highly Confidential",
  "Tooltip": "This label is for highly confidential data.",
  "Actions": [
    {
      "ActionType": "Encrypt",
      "EncryptionSettings": {
        "EncryptionEnabled": true,
        "ProtectWithRightsManagement": true
      }
    },
    {
      "ActionType": "Marking",
      "MarkingSettings": {
        "HeaderText": "HIGHLY CONFIDENTIAL",
        "FooterText": "Do not forward"
      }
    }
  ]
}

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

The document is encrypted and a header/footer is added

Option C is correct because the exhibit shows a sensitivity label configured with both encryption (via Azure Information Protection) and content marking (header/footer). When a user applies this label, the document is automatically encrypted to protect sensitive data, and the specified header and footer are added to the document as visual markings. This is a common configuration in Microsoft Purview Information Protection to enforce protection and awareness simultaneously.

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.

  • The label is automatically removed after one year

    Why it's wrong here

    No expiration or auto-removal is configured.

  • The document is automatically deleted after 30 days

    Why it's wrong here

    No deletion action is configured.

  • The document is encrypted and a header/footer is added

    Why this is correct

    Encryption and markings are both configured.

    Related concept

    Read the scenario before looking for a memorised answer.

  • The document can be printed but not edited

    Why it's wrong here

    Encryption controls access; printing may be allowed depending on rights, but not explicitly set.

Common exam traps

Common exam trap: answer the scenario, not the keyword

The trap here is that candidates often confuse sensitivity labels with retention labels, assuming that sensitivity labels can automatically delete or remove themselves after a time period, when in fact sensitivity labels focus on protection and marking, not lifecycle management.

Detailed technical explanation

How to think about this question

Under the hood, sensitivity labels in Microsoft Purview use Azure Information Protection (AIP) to apply encryption via Azure Rights Management (Azure RMS), which enforces usage restrictions such as view, edit, print, or copy based on the label's protection settings. The header and footer are added as content markings by the Microsoft Apps (e.g., Word, Excel) when the label is applied, and these markings persist even if the document is shared outside the organization, provided the label's encryption is intact. A real-world scenario is a healthcare organization labeling patient records with encryption to prevent unauthorized access and adding a 'CONFIDENTIAL' header to remind users of the sensitivity.

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.

Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.

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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: The document is encrypted and a header/footer is added — Option C is correct because the exhibit shows a sensitivity label configured with both encryption (via Azure Information Protection) and content marking (header/footer). When a user applies this label, the document is automatically encrypted to protect sensitive data, and the specified header and footer are added to the document as visual markings. This is a common configuration in Microsoft Purview Information Protection to enforce protection and awareness simultaneously.

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

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