Question
You have an Azure Active Directory (Azure AD) tenant that contains the following objects:
- A device named Device1
- Users named User1, User2, User3, User4, and User5
- Five groups named Group1, Group2, Group3, Group4, and Group5
The groups are configured as shown in the following table.
| Name | Type | Membership type | Members |
|---|---|---|---|
| Group1 | Security | Assigned | User1, User3, Group2, Group4 |
| Group2 | Security | Dynamic User | User2 |
| Group3 | Security | Dynamic Device | Device1 |
| Group4 | Microsoft 365 | Assigned | User4 |
| Group5 | Microsoft 365 | Assigned | User5 |
How many licenses are used if you assign the Microsoft 365 Enterprise E5 license to Group1?
- A. 0
- B. 2 Correct
- C. 3
- D. 4
Explanation
Group-based licensing does not support nested groups: a license assigned to a group reaches only the users who are direct members of it. Group1's direct user members are User1 and User3, so two licenses are used. User2 and User4 belong to Group1 only through the nested Group2 and Group4, so they receive no license, which rules out 3 and 4.
