VMware Certified Professional - Data Center Virtualization (VCP-DCV) Practice Exam

A virtual machine inherits privileges starting from the Data Center Folder level. This is because VMware vSphere uses a role-based access control system, where permissions can be assigned at various levels in the inventory hierarchy.

When privileges are set at the Data Center Folder level, they propagate down through the hierarchy to child objects, including individual virtual machines. This means that any permissions assigned at this level will apply to all objects contained within that folder, including VM folders and the virtual machines themselves.

If no specific permissions are set at a lower level, the virtual machine will inherit the permissions from the Data Center Folder. This structure allows for a granular yet manageable way to control access and ensure that users or groups have the necessary permissions to perform actions on virtual machines, while also allowing for flexibility in overriding inherited permissions at different levels if specific access is needed.

Therefore, the Data Center Folder is the correct level from which a virtual machine can inherit privileges, as it serves as a parent object that controls access to all nested items within it.