- A
Identity Protection
Correct: Identity Protection detects and remediates identity-based risks, helping to reduce lateral movement.
- B
Password hash synchronization
Why wrong: Incorrect: This is a synchronization method for hybrid identity, not a security control for least-privilege.
- C
Privileged Identity Management (PIM)
Correct: PIM provides just-in-time privileged access, reducing standing access.
- D
Conditional Access policies
Correct: Conditional Access uses signals to allow or block access, enforcing least-privilege.
- E
Microsoft Defender for Cloud Apps
Why wrong: Incorrect: While related to security, it is not a core Microsoft Entra capability; it is part of Microsoft Defender XDR.
SC-900 Describe the capabilities of Microsoft Entra Practice Question
This SC-900 practice question tests your understanding of describe the capabilities of microsoft entra. Read the scenario carefully and evaluate each option against the stated constraints before committing to an answer. 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 a security architect for a large enterprise using Microsoft Entra ID. You need to implement a solution that enforces least-privilege access and reduces lateral movement. Which THREE Microsoft Entra capabilities should you include in your design?
Clue words in this question
Noticing these words before you look at the options changes how you read each choice.
Clue:
"least"Why it matters: You want the option with minimum overhead, fewest steps, or lowest impact — not the most feature-rich or comprehensive answer.
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
Identity Protection
Identity Protection is correct because it uses machine learning to detect and automatically respond to identity-based risks, such as leaked credentials or anomalous sign-in patterns, which directly reduces the attack surface and limits lateral movement by blocking or challenging risky authentications before an attacker can pivot.
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.
- ✓
Identity Protection
Why this is correct
Correct: Identity Protection detects and remediates identity-based risks, helping to reduce lateral movement.
Clue confirmation
The clue word "least" in the question point toward this answer.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
Password hash synchronization
Why it's wrong here
Incorrect: This is a synchronization method for hybrid identity, not a security control for least-privilege.
- ✓
Privileged Identity Management (PIM)
Why this is correct
Correct: PIM provides just-in-time privileged access, reducing standing access.
Clue confirmation
The clue word "least" in the question point toward this answer.
Related concept
Read the scenario before looking for a memorised answer.
- ✓
Conditional Access policies
Why this is correct
Correct: Conditional Access uses signals to allow or block access, enforcing least-privilege.
Clue confirmation
The clue word "least" in the question point toward this answer.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
Microsoft Defender for Cloud Apps
Why it's wrong here
Incorrect: While related to security, it is not a core Microsoft Entra capability; it is part of Microsoft Defender XDR.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates often confuse Microsoft Defender for Cloud Apps (a CASB for SaaS app governance) with a core Entra ID capability, or mistakenly think password hash synchronization provides a security benefit beyond authentication synchronization.
Detailed technical explanation
How to think about this question
Privileged Identity Management (PIM) enables just-in-time (JIT) privileged role activation with time-bound approvals and audit logging, directly enforcing least-privilege by eliminating standing admin access. Conditional Access policies can enforce device compliance, location, and session controls (e.g., using the 'Require device to be marked as compliant' grant) to block lateral movement by restricting access to trusted endpoints. Under the hood, these policies integrate with the Entra ID authentication pipeline via the Security Token Service (STS) and evaluate signals like risk level from Identity Protection before issuing tokens.
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.
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
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Describe the capabilities of Microsoft Entra — study guide chapter
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FAQ
Questions learners often ask
What does this SC-900 question test?
Describe the capabilities of Microsoft Entra — This question tests Describe the capabilities of Microsoft Entra — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Identity Protection — Identity Protection is correct because it uses machine learning to detect and automatically respond to identity-based risks, such as leaked credentials or anomalous sign-in patterns, which directly reduces the attack surface and limits lateral movement by blocking or challenging risky authentications before an attacker can pivot.
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.
Are there clue words in this question I should notice?
Yes — watch for: "least". You want the option with minimum overhead, fewest steps, or lowest impact — not the most feature-rich or comprehensive answer.
What is the key concept behind this question?
Read the scenario before looking for a memorised answer.
About these practice questions
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Last reviewed: Jun 24, 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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