You are working for a company which is about setting up a country-wide environmental monitoring system for real-time air pollution monitoring. In the first stage, the system will consist of 10000 sensor end-devices deployed. Your task is to connect them to an Azure IoT solution. You have three IoT Hubs, with the Device Provisioning Service. The NO2 sensors need to be enrolled to Hub1, particle sensors to Hub2, and Temp sensors to Hub3. Create enrolment group
Set allocation policy to Static
Set allocation policy to Custom
Deploy the custom allocation function to the devices
Add the custom allocation function to DPS
Before connecting the devices, which of the steps above should you execute?

Answer options:

A.1, 3, 5
B.1, 2, 5
C.1, 3, 4
D.1, 2, 4

Correct Answer: A
Option A is CORRECT because first, you need to create a DPS service with allocation policy set to “Custom (Azure Function)” and the custom allocation function (Function App) implementing the allocation logic (by device type) must be linked to it.
Option B is incorrect because it is the “Custom” allocation policy that allows you to customize how the devices will be distributed over the IoT hubs.
Option C is incorrect because the custom allocation function must run in the cloud, rather than on the devices. For the given scenario, the devices should provide information about their type during registration.
Option D is incorrect because the “Custom” allocation policy enables using customized allocation logic; the custom logic must run in the cloud, not on the devices.
Diagram: 

References: 

https://docs.microsoft.com/en-us/azure/iot-dps/tutorial-custom-allocation-policies?tabs=powershell
https://docs.microsoft.com/en-us/azure/iot-dps/how-to-use-custom-allocation-policies