Your network contains an Active Directory domain. The domain contains a group named
Group1.
The minimum password length for the domain is set to six characters.
You need to ensure that the passwords for all users in Group1 are at least 10 characters
long. All other users must be able to use passwords that are six characters long.
What should you do first?

A.
Run the New-ADFineGrainedPasswordPolicy cmdlet.

B.
Run the Add-ADFineGrainedPasswordPolicySubject cmdlet.

C.
From the Default Domain Policy, modify the password policy.

D.
From the Default Domain Controller Policy, modify the password policy.

Explanation:
First we need to create a new Active Directory fine grained password policy, using NewADFineGrainedPasswordPolicy.
Then we can apply the new policy to Group1, using AddADFineGrainedPasswordPolicySubject.

http://technet.microsoft.com/en-us/library/ee617238.aspx
New-ADFineGrainedPasswordPolicy
Creates a new Active Directory fine grained password policy.