Quick Answer
The correct answer is enterprise application registration. This is because Microsoft Entra ID treats any third-party SaaS application as an enterprise app that must be explicitly registered in the tenant before you can configure single sign-on (SSO). By adding the SaaS app from the Microsoft Entra gallery, you create a service principal that represents the application, enabling you to define SAML or OIDC-based SSO settings, assign users, and manage authentication protocols. On the SC-900 exam, this concept tests your understanding of how identity federation works at the foundational level—a common trap is confusing enterprise app registration with Conditional Access policies, which control *how* access is granted after SSO is already configured, or with Identity Protection, which detects risky sign-ins. Remember the memory tip: “First register, then protect”—you cannot apply Conditional Access or risk policies until the enterprise app is registered and SSO is established.
This SC-900 practice question tests your understanding of describe the concepts of security, compliance, and identity. 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.
Your organization wants to use Microsoft Entra ID to provide single sign-on (SSO) for a third-party SaaS application. What must you configure in Microsoft Entra ID?
Identity Protection policy
Why wrong: Identity Protection detects risks, not SSO.
Conditional Access policy
Why wrong: Conditional Access policies control access, they don't set up SSO.
Enterprise application registration
You register the SaaS app as an enterprise application and configure SSO.
Self-service password reset
Why wrong: SSPR is for password reset, not SSO.
Answer choices
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
Enterprise application registration
Option A is correct because you need to add the SaaS app from the gallery and configure SSO. Option B is incorrect because Conditional Access is for access controls. Option C is incorrect because Identity Protection is for risk detection. Option D is incorrect because self-service password reset is a different feature.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
For each option: why learners choose it and why it is or isn't the right answer here.
Identity Protection policy
Why it's wrong here
Identity Protection detects risks, not SSO.
Conditional Access policy
Why it's wrong here
Conditional Access policies control access, they don't set up SSO.
Enterprise application registration
Why this is correct
You register the SaaS app as an enterprise application and configure SSO.
Related concept
Read the scenario before looking for a memorised answer.
Self-service password reset
Why it's wrong here
SSPR is for password reset, not SSO.
Common exam traps
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
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.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Real-world example
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
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.
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FAQ
Describe the concepts of security, compliance, and identity — This question tests Describe the concepts of security, compliance, and identity — Read the scenario before looking for a memorised answer..
The correct answer is: Enterprise application registration — Option A is correct because you need to add the SaaS app from the gallery and configure SSO. Option B is incorrect because Conditional Access is for access controls. Option C is incorrect because Identity Protection is for risk detection. Option D is incorrect because self-service password reset is a different feature.
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.
Read the scenario before looking for a memorised answer.
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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.
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