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SC-500 · Domain 1: Manage identity, access, and governance · 24% of the exam

Task 1.1: Secure access to resources by using Microsoft Entra ID

Privileged Identity Management, Conditional Access, MFA and passwordless methods, enterprise applications and app registrations, OAuth permission grants and consent, and managed identities for Azure resources.

Study it

  • Privileged Identity Management for Entra and Azure resource roles

    Lesson coming

  • Conditional Access policies and authentication strengths

    Lesson coming

  • MFA and passwordless authentication methods

    Lesson coming

  • Enterprise applications, app registrations, permission grants and consent

    Lesson coming

  • Managed identities for Azure resources

    Partly covered by: Shared Responsibility & IAM

Sample questions

Try each one before opening the answer. Every option is explained, with the Microsoft documentation page that proves it.

Question 1 · choose 1

An engineer must get Key Vault Administrator on the production key vault kv-pay-prod only after activating it, for up to two hours at a time. A deployment pipeline's user-assigned managed identity needs Key Vault Secrets Officer on the same vault at all times. The vault's Access control (IAM) page doesn't offer the Eligible assignment type, and no one may get access beyond this vault. What should you do?

  1. AMake both the engineer and the managed identity eligible in PIM, and have the pipeline activate its role before each run
  2. BCreate the engineer's eligible assignment on the vault in PIM under Azure resources, and give the managed identity an active assignment
  3. CCreate the engineer's eligible assignment on the resource group's IAM page, where the Eligible type is offered
  4. DGive the engineer a permanent active assignment on the vault and require MFA for Azure management in Conditional Access
Show the answer and why
  • AMake both the engineer and the managed identity eligible in PIM, and have the pipeline activate its role before each run

    Incorrect

    Eligible assignments can't be created for service principals or managed identities, because they can't perform the activation steps.

  • BCreate the engineer's eligible assignment on the vault in PIM under Azure resources, and give the managed identity an active assignment

    Correct

    PIM can create eligible assignments at resource scope, which the IAM page can't, and a managed identity can't perform activation, so it needs an active assignment.

  • CCreate the engineer's eligible assignment on the resource group's IAM page, where the Eligible type is offered

    Incorrect

    The IAM page offers eligible assignments at resource group scope, but the role would then cover every vault in the group.

  • DGive the engineer a permanent active assignment on the vault and require MFA for Azure management in Conditional Access

    Incorrect

    A permanent active assignment is standing access; the engineer would never need to activate the role.

With PIM, the Access control (IAM) page can create eligible assignments at management group, subscription and resource group scope, but not at resource scope, so an eligible assignment on a single vault is made in PIM. Eligible assignments are for users: applications, service principals and managed identities can't perform the activation steps, so the pipeline's identity gets an active assignment.

Question 2 · choose 1

You have Workload Identities Premium licenses. A Conditional Access policy should block the single-tenant service principal Billing-Export from getting tokens outside the company's named locations. The policy includes the security group Automation-SPs, of which Billing-Export is a member, targets All resources and blocks access. Sign-in logs show Billing-Export still getting tokens from an unknown IP address. What should you change?

  1. AChange the grant control to require multifactor authentication for the service principal
  2. BTarget Microsoft Graph instead of All resources, because All resources skips app-only tokens
  3. CReplace Billing-Export with a user-assigned managed identity so that the policy covers it
  4. DAssign Billing-Export to the policy directly as a selected service principal
Show the answer and why
  • AChange the grant control to require multifactor authentication for the service principal

    Incorrect

    A service principal can't do MFA; for workload identities, Block access is the only grant option.

  • BTarget Microsoft Graph instead of All resources, because All resources skips app-only tokens

    Incorrect

    All resources is the documented target, and the policy applies whenever the service principal requests a token.

  • CReplace Billing-Export with a user-assigned managed identity so that the policy covers it

    Incorrect

    Managed identities aren't covered by Conditional Access policies at all.

  • DAssign Billing-Export to the policy directly as a selected service principal

    Correct

    A policy assigned to a group that contains a service principal isn't enforced for it; the service principal must be assigned directly as a workload identity.

Conditional Access for workload identities applies to single-tenant service principals registered in your tenant and needs Workload Identities Premium licenses. Service principals can be group members, but a policy assigned to such a group isn't enforced for them: include the service principal itself under Select service principals. Block access is the only grant control, and managed identities are out of scope.

Question 3 · choose 1

A scheduled job on an Azure VM runs Azure PowerShell as the user account svc-deploy, signing in with a password kept in a file, to create and delete resources in one resource group. Since mandatory MFA for Azure reached Azure PowerShell, the job fails. It must keep running unattended, security won't exclude any account from MFA, and no credential may be stored on the VM. What should you do?

  1. ARun the job as the VM's managed identity, with a role on the resource group
  2. BRegister a FIDO2 passkey for svc-deploy and keep the security key plugged in to the VM
  3. CChange the job to use only Get cmdlets, which mandatory MFA doesn't cover
  4. DCreate an app registration and keep its client secret in the file instead of the password
Show the answer and why
  • ARun the job as the VM's managed identity, with a role on the resource group

    Correct

    Workload identities such as managed identities aren't affected by mandatory MFA, and the VM gets their tokens without a stored credential.

  • BRegister a FIDO2 passkey for svc-deploy and keep the security key plugged in to the VM

    Incorrect

    Completing a passkey sign-in needs a person, so the job couldn't run unattended.

  • CChange the job to use only Get cmdlets, which mandatory MFA doesn't cover

    Incorrect

    Read operations don't require MFA, but the job has to create and delete resources.

  • DCreate an app registration and keep its client secret in the file instead of the password

    Incorrect

    A client secret in a file is still a credential stored on the VM, which security forbids.

Phase 2 of mandatory MFA, from October 1, 2025, requires MFA for Azure CLI, Azure PowerShell, IaC tools and REST calls that create, update or delete resources. User accounts used as service accounts must then complete MFA; Microsoft recommends moving them to workload identities, which neither phase affects. A managed identity on the VM needs no stored secret.

Question 4 · choose 1

Users consented to a third-party multitenant app that now appears to exfiltrate mail. Security wants Microsoft Entra ID to stop issuing tokens for the app in your tenant immediately, while its enterprise application, user assignments and granted permissions stay as they are for the investigation. What should you do?

  1. ADeactivate the app's registration under App registrations
  2. BSet Enabled for users to sign in to No in the app's enterprise application properties
  3. CDelete the app's enterprise application
  4. DRevoke the admin-consented permissions on the app's Permissions page
Show the answer and why
  • ADeactivate the app's registration under App registrations

    Incorrect

    The app registration lives in the publisher's tenant, so you can't deactivate it from yours.

  • BSet Enabled for users to sign in to No in the app's enterprise application properties

    Correct

    This sets the service principal's accountEnabled to false, which prevents all tokens from being issued for the app while keeping its configuration.

  • CDelete the app's enterprise application

    Incorrect

    Deleting removes the enterprise application from use instead of keeping its configuration in place for the investigation.

  • DRevoke the admin-consented permissions on the app's Permissions page

    Incorrect

    Revoking removes the granted permissions that must stay in place, and it doesn't stop the app from signing users in.

Disabling user sign-in for an enterprise application sets its service principal's accountEnabled property to false in your tenant, so no tokens are issued for the app; the configuration stays and the Activation status shows Deactivated. Deactivating the app registration disables the app across all tenants, but only the home tenant can do that.

Question 5 · choose 2

You're creating a Conditional Access policy that requires phishing-resistant MFA and targets the Windows Azure Service Management API resource. Which two sign-ins does the policy apply to? (Choose TWO.)

  1. AAn engineer signing in to Azure CLI
  2. BAn engineer running Microsoft Graph PowerShell to list users
  3. CAn engineer signing in to Azure DevOps
  4. DAn engineer running Azure PowerShell cmdlets against Azure Resource Manager
  5. EA pipeline's managed identity calling Azure Resource Manager
Show the answer and why
  • AAn engineer signing in to Azure CLI

    Correct

    Azure CLI is one of the services grouped under this resource.

  • BAn engineer running Microsoft Graph PowerShell to list users

    Incorrect

    Microsoft Graph PowerShell calls Microsoft Graph, which this resource doesn't cover.

  • CAn engineer signing in to Azure DevOps

    Incorrect

    Policies on this resource no longer cover Azure DevOps.

  • DAn engineer running Azure PowerShell cmdlets against Azure Resource Manager

    Correct

    The resource applies to Azure PowerShell, which calls the Azure Resource Manager API.

  • EA pipeline's managed identity calling Azure Resource Manager

    Incorrect

    Managed identities aren't covered by Conditional Access policies.

Targeting Windows Azure Service Management API enforces the policy for tokens issued to services closely bound to the portal, including Azure Resource Manager, Azure CLI and Azure PowerShell. It doesn't apply to Microsoft Graph PowerShell or Azure DevOps, and Conditional Access never evaluates managed identities.

Question 6 · choose 1

A Bicep loop adds four federated identity credentials to the same user-assigned managed identity, and the deployment fails with HTTP 409 Conflict errors. What should you change?

  1. ASplit the credentials across two identities, since one identity holds at most two
  2. BCreate the credentials one after another, for example with dependsOn
  3. CAdd the same subject to all four credentials
  4. DGrant the deployment identity Managed Identity Operator
Show the answer and why
  • ASplit the credentials across two identities, since one identity holds at most two

    Incorrect

    An identity can hold up to 20 federated credentials.

  • BCreate the credentials one after another, for example with dependsOn

    Correct

    Concurrent creation under one user-assigned identity triggers conflict detection, so they must be created sequentially.

  • CAdd the same subject to all four credentials

    Incorrect

    The issuer and subject combination must be unique on the identity.

  • DGrant the deployment identity Managed Identity Operator

    Incorrect

    The failure comes from concurrent updates, not missing permissions.

Creating multiple federated identity credentials under the same user-assigned managed identity at the same time causes 409 conflict failures. Create them sequentially: set a loop to serial mode or chain them with dependsOn. Credentials under different identities can be created in parallel.

Question 7 · choose 1

An auditor wants a PowerShell list of the eligible Azure role assignments in a subscription. Which cmdlet returns them?

  1. AGet-AzRoleAssignment
  2. BGet-AzRoleAssignmentSchedule
  3. CGet-AzRoleEligibilitySchedule
  4. DGet-AzRoleDefinition
Show the answer and why
  • AGet-AzRoleAssignment

    Incorrect

    That lists role assignments without their eligibility schedules.

  • BGet-AzRoleAssignmentSchedule

    Incorrect

    That lists active assignment schedules, such as active time-bound assignments.

  • CGet-AzRoleEligibilitySchedule

    Correct

    It returns eligible role assignments for the scope.

  • DGet-AzRoleDefinition

    Incorrect

    That lists role definitions, not who is eligible for them.

No single PowerShell command lists both eligible and active time-bound assignments. Get-AzRoleEligibilitySchedule lists eligible assignments, and Get-AzRoleAssignmentSchedule lists active assignments, which you can filter to those with an end date.

Question 8 · choose 1

An administrator deleted an enterprise application by mistake yesterday. How long can it be restored from the recycle bin?

  1. A30 days after deletion
  2. B7 days after deletion
  3. C90 days after deletion
  4. DIt can't be restored; it must be added again
Show the answer and why
  • A30 days after deletion

    Correct

    Soft-deleted enterprise applications can be restored within the first 30 days.

  • B7 days after deletion

    Incorrect

    The restore window is longer than a week.

  • C90 days after deletion

    Incorrect

    The application is hard deleted well before that.

  • DIt can't be restored; it must be added again

    Incorrect

    A deleted enterprise application stays in a suspended state and can be restored.

A deleted enterprise application remains in a suspended state in the recycle bin for 30 days, during which it can be restored; after that it's permanently deleted. Microsoft suggests considering deactivation before deletion when you need to keep the configuration.

Question 9 · choose 1

An auditor asks how the credential behind a managed identity is rotated and who rotates it. What's the answer?

  1. AThe resource owner must rotate a client secret every 90 days
  2. BKey Vault rotates a key for the identity on a schedule you set
  3. CThe credential never expires, because tokens are issued by IMDS
  4. DAzure uses a certificate that expires after 90 days and rolls it after 45 days
Show the answer and why
  • AThe resource owner must rotate a client secret every 90 days

    Incorrect

    Managed identities don't use client secrets that anyone rotates.

  • BKey Vault rotates a key for the identity on a schedule you set

    Incorrect

    The credential isn't stored in or rotated by your key vault.

  • CThe credential never expires, because tokens are issued by IMDS

    Incorrect

    IMDS hands out tokens, but the underlying credential expires.

  • DAzure uses a certificate that expires after 90 days and rolls it after 45 days

    Correct

    Managed identities use certificate-based authentication managed by Azure.

Managed identities use certificate-based authentication. Each identity's credential expires after 90 days and is rolled after 45 days, without any action by the resource owner.

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