Microsoft Certified: Identity and Access Administrator (SC-300) Practice Exam 2025 - Free SC-300 Practice Questions and Study Guide

The term that accurately describes the encryption of data at its destination by the receiving application or service is End-to-End Encryption. This method ensures that data is encrypted before it leaves the sender and remains encrypted until it is decrypted by the receiving application or service. Hence, this ensures that only the sender and intended recipient can access the unencrypted data, providing a high level of confidentiality and security.

In contrast, client-side encryption typically refers to the method where the data is encrypted on the client’s side before being sent to a server, ensuring that the server only holds encrypted data and does not have access to the unencrypted content. Server-side encryption involves encrypting data at the server after it has been received, meaning that the data is decrypted when it is accessed by authorized users or applications. Transport layer encryption, on the other hand, secures data only during transmission between the client and server but does not provide encryption from the source all the way to the final recipient.

Thus, End-to-End Encryption is the best descriptor for the process of encrypting data specifically at its destination by the receiving entity.