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. 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.
You are the compliance administrator for Contoso, a multinational corporation with headquarters in the US and subsidiaries in Europe and Asia. Contoso uses Microsoft 365 E5 and Microsoft Purview. The company handles personal data subject to GDPR and CCPA. You need to design a compliance solution that meets the following requirements:
- Automatically classify and protect documents containing personal data in SharePoint Online and OneDrive for Business.
- Ensure that data subject requests (DSRs) for access and deletion can be fulfilled within the regulatory timeframes.
- Prevent accidental sharing of sensitive data via email and Teams.
- Maintain an audit trail of all activities related to personal data for at least one year.
- Manage data retention to comply with local laws that require different retention periods for different types of data.
Which combination of Microsoft Purview solutions should you use?
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 the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Sensitivity labels with auto-labeling, DLP, eDiscovery, Data Lifecycle Management, and Audit (Premium)
Option C is correct because sensitivity labels with auto-labeling classify and protect data; DLP prevents sharing; eDiscovery and Data Lifecycle Management handle DSRs and retention; Audit (Premium) provides 1-year audit retention. Option A is wrong because Communication Compliance is for monitoring, not DSRs. Option B is wrong because Information Barriers restrict communication, not retention. Option D is wrong because Insider Risk Management is for risk detection, not compliance lifecycle.
Key principle: NAT direction and interface roles matter as much as the IP address mapping. Inside/outside designation controls which traffic is translated.
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 auto-labeling, DLP, eDiscovery, Data Lifecycle Management, and Audit (Premium)
Why this is correct
All requirements are met: auto-labeling, DLP, DSR handling, retention management, and 1-year audit.
Clue confirmation
The clue word "least" in the question point toward this answer.
Related concept
Static NAT maps one inside address to one outside address.
✗
Insider Risk Management, DLP, eDiscovery, and Data Lifecycle Management
Why it's wrong here
Insider Risk Management focuses on risk, not classification and protection; missing audit retention.
✗
Data Lifecycle Management, Information Barriers, DLP, and Audit (Premium)
Why it's wrong here
Information Barriers restrict communication, not relevant for data subject requests.
✗
Sensitivity labels, Communication Compliance, eDiscovery, and Audit (Standard)
Why it's wrong here
Communication Compliance does not handle DSRs; Audit (Standard) retains logs for 90 days, not 1 year.
Common exam traps
Common exam trap: NAT rules depend on direction and matching traffic
NAT is not only about the public address. The inside/outside interface roles and the ACL or rule that matches traffic are just as important.
Detailed technical explanation
How to think about this question
NAT questions usually test address translation, overload/PAT behaviour, static mappings and whether the right traffic is being translated. Read the interface direction and address terms carefully.
KKey Concepts to Remember
Static NAT maps one inside address to one outside address.
PAT allows many inside hosts to share one public address using ports.
Inside local and inside global describe the private and translated addresses.
NAT ACLs identify traffic for translation, not always security filtering.
TExam Day Tips
→Identify inside and outside interfaces first.
→Check whether the scenario needs static NAT, dynamic NAT or PAT.
→Do not confuse NAT matching ACLs with normal packet-filtering intent.
Key takeaway
NAT direction and interface roles matter as much as the IP address mapping. Inside/outside designation controls which traffic is translated.
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.
Review the four NAT address types (inside local, inside global, outside local, outside global), PAT port overload, and static vs dynamic NAT use cases. Then practise related SC-900 NAT questions on configuration and troubleshooting.
Describe the capabilities of Microsoft compliance solutions — This question tests Describe the capabilities of Microsoft compliance solutions — Static NAT maps one inside address to one outside address..
What is the correct answer to this question?
The correct answer is: Sensitivity labels with auto-labeling, DLP, eDiscovery, Data Lifecycle Management, and Audit (Premium) — Option C is correct because sensitivity labels with auto-labeling classify and protect data; DLP prevents sharing; eDiscovery and Data Lifecycle Management handle DSRs and retention; Audit (Premium) provides 1-year audit retention. Option A is wrong because Communication Compliance is for monitoring, not DSRs. Option B is wrong because Information Barriers restrict communication, not retention. Option D is wrong because Insider Risk Management is for risk detection, not compliance lifecycle.
What should I do if I get this SC-900 question wrong?
Review the four NAT address types (inside local, inside global, outside local, outside global), PAT port overload, and static vs dynamic NAT use cases. Then practise related SC-900 NAT questions on configuration and troubleshooting.
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?
Static NAT maps one inside address to one outside address.
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