- A
Create a retention label and apply auto-labeling for Finance
Why wrong: Retention labels manage data retention, not data loss prevention.
- B
Create a sensitivity label and publish it to Finance users
Why wrong: Sensitivity labels classify data but do not enforce DLP actions like blocking sharing.
- C
Copy the default DLP template for financial data and modify it
Why wrong: Copying a template may include unwanted conditions; a new policy from scratch is cleaner.
- D
Create a DLP policy, select the Finance user location, and add the credit card number condition
DLP policies can be scoped to specific users and include sensitive info types like credit card numbers.
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.
Your company is implementing data loss prevention (DLP) policies in Microsoft Purview. You need to create a policy that prevents users from sharing credit card numbers via email to external recipients. The policy should only apply to users in the Finance department. Which action should you take?
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
Create a DLP policy, select the Finance user location, and add the credit card number condition
Option C is correct because DLP policies in Microsoft Purview can be scoped to specific user groups via location selection. Option A is wrong because sensitivity labels are for classification, not DLP enforcement. Option B is wrong because retention labels are for data retention, not DLP. Option D is wrong because the policy should be created from scratch, not copied from a template that may not match 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.
- ✗
Create a retention label and apply auto-labeling for Finance
Why it's wrong here
Retention labels manage data retention, not data loss prevention.
- ✗
Create a sensitivity label and publish it to Finance users
Why it's wrong here
Sensitivity labels classify data but do not enforce DLP actions like blocking sharing.
- ✗
Copy the default DLP template for financial data and modify it
Why it's wrong here
Copying a template may include unwanted conditions; a new policy from scratch is cleaner.
- ✓
Create a DLP policy, select the Finance user location, and add the credit card number condition
Why this is correct
DLP policies can be scoped to specific users and include sensitive info types like credit card numbers.
Related concept
Read the scenario before looking for a memorised answer.
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 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 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 compliance solutions — study guide chapter
Learn the concepts, then practise the questions
- →
Describe the capabilities of Microsoft compliance solutions practice questions
Targeted practice on this topic area only
- →
All SC-900 questions
1,411 questions across all exam domains
- →
Microsoft Security, Compliance, and Identity Fundamentals SC-900 study guide
Full concept coverage aligned to exam objectives
- →
SC-900 practice test guide
How to use practice tests most effectively before exam day
Related practice questions
Related SC-900 practice-question pages
Use these pages to review the topic behind this question. This is how one missed question becomes focused revision.
Describe the capabilities of Microsoft Entra practice questions
Practise SC-900 questions linked to Describe the capabilities of Microsoft Entra.
Describe the capabilities of Microsoft security solutions practice questions
Practise SC-900 questions linked to Describe the capabilities of Microsoft security solutions.
Describe the capabilities of Microsoft compliance solutions practice questions
Practise SC-900 questions linked to Describe the capabilities of Microsoft compliance solutions.
Describe the concepts of security, compliance, and identity practice questions
Practise SC-900 questions linked to Describe the concepts of security, compliance, and identity.
SC-900 fundamentals practice questions
Practise SC-900 questions linked to SC-900 fundamentals.
SC-900 scenario practice questions
Practise SC-900 questions linked to SC-900 scenario.
SC-900 troubleshooting practice questions
Practise SC-900 questions linked to SC-900 troubleshooting.
Practice this exam
Start a free SC-900 practice session
Short sessions build daily habit. Longer sessions build exam-day stamina. Try a timed session to simulate real conditions.
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: Create a DLP policy, select the Finance user location, and add the credit card number condition — Option C is correct because DLP policies in Microsoft Purview can be scoped to specific user groups via location selection. Option A is wrong because sensitivity labels are for classification, not DLP enforcement. Option B is wrong because retention labels are for data retention, not DLP. Option D is wrong because the policy should be created from scratch, not copied from a template that may not match the requirement.
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.
About these practice questions
Courseiva creates original exam-style practice questions with explanations and wrong-answer analysis. It does not publish real exam questions, exam dumps, or protected exam content. Learn why practice questions differ from exam dumps →
Last reviewed: Jun 21, 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.
Question Discussion
Share a tip, memory trick, or ask about the reasoning behind this question. Do not post real exam questions, leaked content, braindumps, or copyrighted exam material. Comments are moderated and may be removed without notice.
Sign in to join the discussion.