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In a corporate environment utilizing Microsoft 365, a company is planning to implement a new policy for managing user identities and access to resources. The IT department is considering using Azure Active Directory (Azure AD) to enhance security and streamline user management. Which of the following best describes the primary benefit of integrating Azure AD with Microsoft 365 for identity management?
It provides a centralized identity management system that allows for single sign-on (SSO) across all Microsoft 365 applications and services, enhancing user experience and security.
It allows for the creation of multiple independent directories for different departments, ensuring that each department can manage its own users without any centralized control.
It enables the use of on-premises Active Directory exclusively, ensuring that all identity management processes remain within the local network and do not rely on cloud services.
It requires users to manage separate credentials for each Microsoft 365 application, thereby increasing the complexity of user access management.

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