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Question: What does Reset Protected Data Mean?

I have a couple of iPads for our company that I use at our different locations. One of our locations set up 2 step verification and now they can't remember the passcode they used for it. I clicked on "forgot passcode" and it brought up Reset Protected Data but I don't understand what that means and what it entails. Please advise. Thank you!

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Question: What does Reset Protected Data Mean?