Yes, it is critically important to call sp_xml_removedocument. The statement in the article "This handle is valid for until the connection is reset, or until the execution of sp_xml_removedocument." is...

The point is that the question did not state "WITH MARK" which is a requirement to be able to restore to it.

Knowing how these test questions work answering "Restore the...

Lets say you are running a large batch process. If you use "WITH MARK" you can restore the database to the exact state before the batch process started.

You could also...

The question did not specify "WITH MARK" and therefore recovery to the named transaction is not possible. I am sticking with my initial statement that this question/answer is technically incorrect.

It is ok for a scenario to be far fetched, but it has to be technically correct. This one is not! You can only restore to a "marked" transaction. For...

You can not restore to a named transaction! It requires the transaction be marked. Therefore if you actually had to restore (which I wouldn't...update the table to the correct values)...