HOTSPOT - You have the Azure Information Protection labels as shown in the following table. 

You have the Azure Information Protection policies as shown in the following table. 

You need to identify how Azure Information Protection will label files. What should you identify? To answer, select the appropriate options in the answer area. NOTE: Each correct selection is worth one point. Hot Area: 

Box 1: Label 2 only - How multiple conditions are evaluated when they apply to more than one label 1. The labels are ordered for evaluation, according to their position that you specify in the policy: The label positioned first has the lowest position (least sensitive) and the label positioned last has the highest position (most sensitive). 2. The most sensitive label is applied. 3. The last sublabel is applied. Box 2: No Label - Automatic classification applies to Word, Excel, and PowerPoint when documents are saved, and apply to Outlook when emails are sent. Automatic classification does not apply to Microsoft Notepad. Reference: https://docs.microsoft.com/en-us/azure/information-protection/configure-policy-classification