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AI-103 Practice Exam: Azure AI Apps and Agents Developer Associate

147 questions · 120 min timed mode · Microsoft Azure · Updated 2026

Build AI apps and agents on Microsoft Foundry: models, prompts, tools, safety evaluations, deployment.

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Sample AI-103 questions

Case Study - This is a case study. Case studies are not timed separately from other exam sections. You can use as much exam time as you would like to complete each case study. However, there might be additional case studies or other exam sections. Manage your time to ensure that you can complete all the exam sections in the time provided. Pay attention to the Exam Progress at the top of the screen so you have sufficient time to complete any exam sections that follow this case study. To answer the case study questions, you will bed to reference information that is provided in the case. Case studies and associated questions might contain exhibits or other resources that provide more information about the scenario described in the case. Information provided in an individual question does not apply to the other questions in the case study. A Review Screen will appear at the end of this case study. From the Review Screen, you can review and change your answers before you move to the next exam section. After you leave this case study, you will NOT be able to return to it. To start the case study - To display the first question in this case study, select the “Next” button. To the left of the question, a menu provides links to information such as business requirements, the existing environment, and problem statements. Please read through all this information before answering any questions. When you are ready to answer a question, select the “Question” button to return to the question. Overview - Company Information - Contoso, Ltd is a multinational retail company that builds, deploys, and manages generative AI and agent-based solutions by using Microsoft Foundry. Existing Environment - Identity Environment - Contoso uses Microsoft Entra ID for identity management, authentication, and authorization capabilities that enable agents to access organizational resources and services. Contoso recently formed a new AI engineering team named Agent1Dev Team to optimize and maintain existing AI solutions. The team collaborates with solution architects, DevOps engineers, and security engineers to design, implement. monitor, and secure AI applications. Contoso also has a team named Agent1Test Team that is responsible for validating AI solutions before the solution deployments. Generative Environment - Contoso has a Microsoft Foundry deployment that contains two projects named Project1 and Project2. Project1 - Project1 contains a customer support agent named Agent1 that assists customers with product inquiries and troubleshooting requests. Agent1 has the following configurations: Agent1 uses a base model deployment. A safety evaluation pipeline is NOT enabled. Tool invocation approval workflows are NOT enabled. Conversation memory constraints are NOT configured. Agent1 interacts with customers by using digital support channels and answers general questions about Contoso products. Project1 is deployed to an Azure region located in the European Union (EU). Agent1Dev Team will use Project1 to optimize and maintain Agent1. Project2 - Project2 contains a deployed video generation model. The marketing department at Contoso has access to Project2 and plans to use the model to develop a video creation solution. Development of the solution is incomplete. Data Environment - Contoso stores product-related information in Azure resources that support AI applications. The Azure environment contains an Azure Blob Storage account named storage1 that stores product detail sheets for all the Contoso products. The product sheets include specifications, feature descriptions, and product support information that Agent1 can use to answer customer questions. The product sheets are stored in the PDF format. Problem Statements - Contoso identifies the following issues: Agent1 has only general knowledge of the Contoso products. A recent chat interaction with Agent1 was analyzed for sentiment. The results of the analysis have NOT been processed yet. Agent1 does NOT use the detailed product information in the product sheets stored in storage1 when responding to customer questions. The finance department at Contoso reports that vendor invoices must be reviewed manually to ensure that the invoices match the terms defined in the vendor contracts. The invoices contain tables, logos, and varied layouts that make the documents difficult to process consistently. Requirements - Planned Changes - Contoso plans to implement the following changes: Implement a solution for Project1 that analyzes the vendor invoices by evaluating both the visual layout and the textual content of the invoices, so that the invoice details can be verified against the vendor contract terms. Update the base model deployment used by Agent1 and standardize the model version to ensure continuity and consistent responses. Enable Agent1 to retrieve and use the detailed product information from the product sheets stored in storage1. Implement an indexing solution for the product sheets that Agent1 can use to answer customer questions. Complete the development of the video creation solution. Technical Requirements - Contoso identifies the following technical requirements: The model deployment used by Agent1 must support scalable, high-throughput generative AI workloads and dynamically scale to handle variable customer support traffic, without requiring reserved throughput capacity. The product sheets must be processed by using an indexing pipeline that enables semantic and vector search, so that Agent1 can retrieve the relevant product information. Responses generated by using the product sheet information must be relevant, complete, and accurate. Agent1 must be able to use the product sheets to answer natural language questions about product details. The model version used by Agent1 must remain consistent to ensure stable responses. The data processed by the model must remain within the EU. Security and Compliance Requirements Contoso identifies the following security and compliance requirements: API keys must NOT be used to access Foundry-deployed models. Access to the Azure resources must follow the principle of least privilege. The developers at Contoso must authenticate to Microsoft Foundry resources by using Microsoft Entra authentication. Access to Project1 must be assigned to the members of Agent1Dev Team by using a security group named SC_Agent1_Dev. Access to Project1 must be assigned to the members of Agent1Test Team by using a security group named SC_Agent1_Test. Agent1 must never reveal customer information, even if a document that contains customer data is added erroneously to the product sheet repository in storage1. The product sheets might contain images that include embedded text. Agent1 must be protected from malicious instructions potentially hidden within the images. Business Requirements - Contoso identifies the following business requirements: Users that interact with Agent1 must have a personalized experience in future interactions, including the ability for Agent1 to retain conversation context and recall relevant information from previous interactions. Agent1 must answer questions only about the products sold by Contoso. You need to configure Agent1 to meet the security and compliance requirements. What should you use?
  1. self-harm content filtering
  2. prompt shields
  3. Personally identifiable information (PII) Detection
  4. violence content filtering
Show answerB — prompt shields
Prompt shields are the Azure AI Content Safety feature designed to detect and block adversarial input such as prompt injection and jailbreak attacks, which is what this scenario targets. Self-harm and violence content filtering only detect harmful content categories in text; they do not recognize malicious instructions crafted to manipulate the model. PII detection finds and redacts personal information, which is a privacy control rather than an attack defense. Whenever an agent must be protected from users trying to override its instructions, prompt shields are the correct control.
You are planning a Microsoft Foundry project named Project1 that will contain multiple agents. Each agent will access the same Azure AI Search resource. You need to recommend a solution to centrally manage the Azure AI Search credentials within Project1. The solution must be implemented across all the agents. What should you recommend?
  1. Enable role-based access control (RBAC) for the Azure AI Search resource.
  2. Disable key-based access control on the Azure AI Search resource.
  3. Add a connection to the Azure AI Search resource.
  4. Create a managed private endpoint that connects to the Azure AI Search resource.
Show answerC — Add a connection to the Azure AI Search resource.
Adding a connection to the Azure AI Search resource in the Foundry project is correct because a project connection stores the endpoint and credentials once and is shared by every agent in the project, giving exactly the centralized credential management required. Enabling RBAC or disabling key-based access are worthwhile security hardening steps, but neither centralizes nor distributes credentials to the agents. A managed private endpoint only secures network connectivity between the project and the search resource; it does not manage or share authentication credentials.
You have a Microsoft Foundry project that contains three agents as shown in the following table. | Name | Description | |---|---| | TriageAgent | Classifies incoming customer requests | | PolicyAgent | Answers policy questions by searching internal content | | ActionAgent | Creates or updates tickets by calling an HTTP API | You need to orchestrate the agents to ensure that the customer requests meet the following requirements: Support a deterministic, step-based process that uses conditional branching and shared state across the agents. Optionally trigger a ticket action based on the triage result. The solution must minimize development effort. What should you include in the solution?
  1. a workflow
  2. threads and runs without a workflow
  3. a multi-agent group chat session
  4. separate agent runs coordinated in the application code
Show answerA — a workflow
A workflow is correct because Foundry workflows provide a deterministic, step-based orchestration model with conditional branching, shared state passed between agents, and declarative definition in YAML, which minimizes development effort. Threads and runs without a workflow leave sequencing and branching to you, increasing effort. A multi-agent group chat is non-deterministic and model-driven, so it cannot guarantee a fixed step order. Coordinating separate agent runs in application code is the highest-effort option and duplicates what the workflow engine already provides, including the conditional ticket action trigger.

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How many practice questions are in this AI-103 bank?
147 questions covering the current AI-103 Azure AI Apps and Agents Developer Associate syllabus, every one with the correct answer and an explanation.
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The official AI-103 exam gives you 120 minutes. Our timed exam mode uses the same limit so the pace feels familiar.
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