Microsoft AZ-720 Troubleshooting Microsoft Azure Connectivity Free Practice Test — 30 Questions

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Question 1 of 30

In a corporate environment, a company has implemented Azure Policy to manage its resources effectively. The IT team is tasked with ensuring that all virtual machines (VMs) deployed in Azure must have a specific tag for cost management purposes. The policy definition is set to enforce the presence of the tag \"CostCenter\" with a value that must be a non-empty string. If a new VM is created without this tag, the policy should deny the creation. Given this scenario, which of the following statements best describes the implications of this policy definition?

The policy will automatically add the "CostCenter" tag to any VM that is created without it, ensuring compliance without user intervention.
The policy will prevent the creation of any VM that does not have the "CostCenter" tag, thereby enforcing compliance at the point of resource creation.
The policy will only provide a warning to users creating VMs without the "CostCenter" tag, allowing them to proceed if they choose.
The policy will apply retroactively to existing VMs, tagging them with "CostCenter" if they do not already have it.

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