Your company has an application that uses several Microsoft Azure SQL databases. New databases are added regularly as customers sign up for new services. Databases are removed regularly as customers…

Set-AzureRmSqlDatabaseAuditingPolicy configures auditing for a specific Azure SQL database, requiring manual configuration for each new database and failing to meet the requirement for automatically auditing all databases.

Use-AzureRmSqlServerAuditingPolicy is not a valid PowerShell cmdlet for managing Azure SQL Server auditing policies.

The Set-AzureRmSqlServerAuditingPolicy cmdlet configures the auditing policy for an entire Azure SQL logical server. When auditing is enabled at the server level, all existing and newly created databases on that server automatically inherit and apply the auditing policy, ensuring that auditing is constant and covers all databases, including those added regularly.

New-AzureRmOperationalInsightsAzureAuditDataSource is used to create a new Log Analytics data source for Azure SQL Audit data, configuring where audit logs are sent, not the auditing policy itself.