MICROSOFT · SC-401

Microsoft SC-401 Exam Practice Questions

280 questionsPDF by emailUpdated September 2026

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Three of the 280 questions in this pack

Question 1

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CASE STUDY

INSTRUCTIONS

This is a case study. Case studies are not timed separately from other exam sections. You can use as much exam time as you would like to complete each case study. However, there might be additional case studies or other exam sections. Manage your time to ensure that you can complete all the exam sections in the time provided. Pay attention to the Exam Progress at the top of the screen so you have sufficient time to complete any exam sections that follow this case study.

To answer the case study questions, you will need to reference information that is provided in the case. Case studies and associated questions might contain exhibits or other resources that provide more information about the scenario described in the case. Information provided in an individual question does not apply to the other questions in the case study.

A Review Screen will appear at the end of this case study. From the Review Screen, you can review and change your answers before you move to the next exam section. After you leave this case study, you will NOT be able to return to it.

To start the case study -To display the first question in this case study, select the "Next" button. To the left of the question, a menu provides links to information such as business requirements, the existing environment, and problem statements. Please read through all this information before answering any questions.

When you are ready to answer a question, select the "Question" button to return to the question.

Overview

Contoso, Ltd. is a consulting company that has a main office in Montreal and three branch offices in Seattle, Boston, and Johannesburg.

Existing Environment

Microsoft 365 Environment -Contoso has a Microsoft 365 E5 tenant. The tenant contains the administrative user accounts shown in the following table.

Users store data in the following locations:

• SharePoint sites

• OneDrive accounts

• Exchange email

• Exchange public folders

• Teams chats

• Teams channel messages

When users in the research department create documents, they must add a 10-digit project code to each document. Project codes that start with the digits 999 are confidential.

SharePoint Online Environment

Contoso has four Microsoft SharePoint Online sites named Site1, Site2, Site3, and Site4.

Site2 contains the files shown in the following table.

Two users named User1 and User2 are assigned roles for Site2 as shown in the following table.

Site3 stores documents related to the company's projects. The documents are organized in a folder hierarchy based on the project.

Site4 has the following two retention policies applied:

Name: Site4RetentionPolicy1 -Locations to apply the policy: Site4 Delete items older than: 2 years Delete content based on: When items were created Name: Site4RetentionPolicy2 -Locations to apply the policy: Site4 Retain items for a specific period: 4 years Start the retention period based on: When items were created At the end of the retention period: Do nothing

Problem Statements

Management at Contoso is concerned about data leaks. On several occasions, confidential research department documents were leaked.

Requirements

Planned Changes

Contoso plans to create the following data loss prevention (DLP) policy:

Name: DLPpolicy1 -Locations to apply the policy: Site2 Conditions:

Content contains any of these sensitive info types: SWIFT Code Instance count: 2 to any -Actions: Restrict access to the content

Technical Requirements

Contoso must meet the following technical requirements:

All administrative users must be able to review DLP reports.

Whenever possible, the principle of least privilege must be used.

For all users, all Microsoft 365 data must be retained for at least one year.

Confidential documents must be detected and protected by using Microsoft 365.

Site1 documents that include credit card numbers must be labeled automatically.

All administrative users must be able to create Microsoft 365 sensitivity labels.

After a project is complete, the documents in Site3 that relate to the project must be retained for 10 years.

You need to meet the technical requirements for the creation of the sensitivity labels.

To which user or users must you assign the Sensitivity Label Administrator role?

Exhibit for question 1

Exhibit for question 1

Exhibit for question 1

  1. Admin1 only
  2. Admin1 and Admin4 only
  3. Admin1 and Admin5 only
  4. Admin1, Admin2, and Admin3 only
Show answer and explanation

Correct answer: B. Admin1 and Admin4 only

Creating and managing sensitivity labels is already included in the Compliance Administrator, Compliance Data Administrator, and Security Administrator roles, so Admin2, Admin3, and Admin5 need no additional assignment. Global Reader is read-only and Security Operator carries no label management rights, so Admin1 and Admin4 are the only accounts that need the Sensitivity Label Administrator role. Assigning that single, narrowly scoped role to just those two accounts satisfies the requirement that all administrative users can create labels while keeping permissions minimal.

Why the other options are wrong

  • A. Admin1 alone leaves Admin4 without any ability to create sensitivity labels, so the requirement is not met.
  • C. Admin5 holds the Security Administrator role, which already permits creating and managing sensitivity labels, so granting an extra role there is unnecessary.
  • D. Admin2 and Admin3 hold compliance roles that already allow sensitivity label creation, and this option leaves Admin4 unable to create labels.

Question 2

You have a Microsoft 365 E5 subscription that contains a Microsoft Teams channel named Channel1. Channel1 contains research and development documents.

You plan to implement Microsoft 365 Copilot for the subscription.

You need to prevent the contents of files stored in Channel1 from being included in answers generated by Copilot and shown to unauthorized users.

What should you use?

  1. data loss prevention (DLP)
  2. Microsoft Purview insider risk management
  3. Microsoft Purview Information Barriers (IBs)
  4. sensitivity labels
Show answer and explanation

Correct answer: D. sensitivity labels

Sensitivity labels are the correct mechanism to prevent unauthorized access to Copilot- generated content. When a sensitivity label is applied to files in Channel1, it enforces encryption and access controls that prevent Copilot from including that content in responses shown to users without the appropriate permissions. This directly addresses the requirement to prevent unauthorized users from seeing Channel1 contents in Copilot answers.

Why the other options are wrong

  • A. DLP policies prevent data exfiltration but don't control Copilot's inclusion of content in generated responses.
  • B. Insider risk management focuses on detecting risky user behavior, not controlling Copilot access to sensitive content.
  • C. Information Barriers restrict communication between users but don't control how Copilot processes or displays content.

Question 3

You have a Microsoft 365 E5 subscription.

You need to create a sensitivity label named Label1. The solution must ensure that users can use Microsoft 365 Copilot to summarize files that have Label1 applied.

Which permission should you select for Label1?

  1. Export content(EXPORT)
  2. Copy and extract content(EXTRACT)
  3. Edit content(DOCEDIT)
  4. View rights(VIEW)
Show answer and explanation

Correct answer: B. Copy and extract content(EXTRACT)

The Copy and extract content (EXTRACT) permission is required for Copilot to summarize files. Copilot needs the ability to extract content from documents to process and summarize them. Without this permission, Copilot cannot access the underlying content of labeled files to generate summaries.

Why the other options are wrong

  • A. Export content permission controls exporting files but is not required for Copilot summarization.
  • C. Edit content permission allows document editing, which is not necessary for read- only summarization operations.
  • D. View rights permission allows users to see files but doesn't grant the extraction capability Copilot needs to process content.

See all 10 free questions Get the full pack, US$39

280 practice questions for Microsoft Information Security Administrator (SC-401), with full explanations.

Every question comes with the correct answer, the reasoning behind it, and a short note on why each wrong option is wrong. Work through it once with the answers, then again with the questions-only copy under exam conditions.

  • 280 questions mapped to the SC-401 exam objectives, across all three domains
  • Answers and explanations for every question, including why each wrong option is wrong
  • A questions-only PDF for timed practice runs
  • Instant delivery by email the moment you check out
  • Free monthly updates for as long as the exam is live
  • Pass or your money back

An SC-401 attempt costs US$165. This pack is US$39, paid once.

Try 10 questions free before you buy.

Last updated September 2026 · 280 questions

What makes the SC-401 hard

SC-400 retired in May 2025, and SC-401 is what replaced it: the same Purview core, rebuilt around a data-security role, with AI security added. Study material written for SC-400 misses a chunk of the current blueprint.

The exam lives in Microsoft Purview’s decision points: sensitivity labels versus sensitive information types versus trainable classifiers, DLP policy scoping and priority when rules collide, retention labels versus retention policies, and insider risk management thresholds. The newer layer is securing data that AI touches: Copilot interactions, DSPM for AI, and oversharing surfaced by AI tools.

The three domains are weighted almost identically, at 30 to 35% each, so there is no section that can safely be skimmed. Information protection, DLP and retention, and risk and alert management each decide roughly a third of the score.

About the exam

SC-401 certifies implementing information security in Microsoft 365: information protection, data loss prevention, retention and insider risk with Microsoft Purview, including securing data in AI environments. It replaced SC-400, which retired in May 2025. Skills measured as of 28 July 2026. Renews annually via a free online assessment.

Exam domains

  • Implement information protection: 30 to 35%
  • Implement data loss prevention and retention: 30 to 35%
  • Manage risks, alerts, and activities: 30 to 35%

Around 40 to 60 questions, 100 minutes, passing score 700 out of 1000, US$165 in the US, priced in local currency elsewhere, online proctored or test centre, renews annually for free.

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Questions before you buy

What do I get when I buy the Microsoft SC-401 pack?

280 practice questions as a PDF, each with the correct answer, a full explanation and a note on why the other options are wrong, plus a separate questions-only PDF for timed practice.

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Your PDF is prepared and sent to your email address after checkout, and you get a confirmation as soon as it is on its way.

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Yes. Ten questions from this pack, with answers and explanations, are free on this page and as a PDF, so you can judge the quality before you pay.

Are updates included?

Yes. The pack is updated every month for as long as the exam is live, and updates are free for everyone who has bought it.

What if I fail the exam?

We refund the pack. Sit the exam 7 to 30 days after buying, then send your official score report within 7 days of the exam date, as set out in the refund policy.

Can I share it with colleagues?

Each purchase is licensed to one person. For a team, school or training organisation, email support@certstash.com for a licence that fits.