Microsoft Security, Compliance, and Identity Fundamentals — Question 123

What is a characteristic of a sensitivity label in Microsoft 365?

Answer options

• A. encrypted
• B. restricted to predefined categories
• C. persistent

Correct answer: C

Explanation

The correct answer is C, as sensitivity labels are designed to persistently apply protection and classification to data, regardless of where it is stored or shared. Option A is incorrect because while sensitivity labels can enforce encryption, not all labels are necessarily encrypted. Option B is misleading because sensitivity labels can be customized beyond just predefined categories, allowing for flexibility.