AI-901 practice questions and answers
All 45 questions from Full Practice Test 1 for Exam AI-901: Microsoft Azure AI Fundamentals, with the correct answer and a full explanation for each — including why the other options are wrong. Free to read, no signup.
What this set covers
Questions are weighted to match the official AI-901 exam guide. The real exam is 40-60 (not published) questions in 45 minutes with a pass mark of 700 / 1000.
- Identify AI concepts and capabilities19 q · 43%
- Implement AI solutions by using Microsoft Foundry26 q · 57%
Which statement about training and inference is correct?
- ATraining learns patterns from data, while inference applies the trained model to new data✓
- BInference learns patterns and training applies them
- CTraining and inference are the same operation
- DInference requires labelled data for every request
Correct answer: A — Training learns patterns from data, while inference applies the trained model to new data
Training is where the model's parameters are fitted to data, and inference is where those fixed parameters produce predictions for new input. The two are distinct operations, and inference does not need labels because the label is what it predicts.
Microsoft Learn — Machine learning fundamentalsWhich computer vision capability identifies the location of each object in an image with a bounding box?
- AObject detection✓
- BImage classification
- COptical character recognition
- DSemantic segmentation of text
Correct answer: A — Object detection
Object detection returns both the class and the bounding box coordinates for each object found. Image classification assigns a single label to the whole image, and OCR extracts text characters rather than locating general objects.
Microsoft Learn — Computer vision conceptsA document set is chunked for indexing and answers are poor because sentences are split across chunk boundaries. What should be adjusted first?
- AThe chunk size and overlap used during ingestion✓
- BThe model temperature
- CThe endpoint region
- DThe number of deployment replicas
Correct answer: A — The chunk size and overlap used during ingestion
Broken chunks are an ingestion problem, so tuning chunk size and adding overlap so ideas are not split fixes the root cause. Temperature, region, and replica count do not repair damaged retrieval content.
Microsoft Learn — Chunking for RAGA solution must read printed and handwritten text from scanned invoices. Which AI capability is required?
- AOptical character recognition✓
- BSpeech recognition
- CSentiment analysis
- DEntity linking
Correct answer: A — Optical character recognition
OCR converts text in images into machine-readable characters, including handwriting in modern models. Speech recognition works on audio, sentiment analysis judges tone in text that has already been extracted, and entity linking connects mentions to knowledge base entries.
Microsoft Learn — Read text with OCRWhich authentication approach is recommended for an Azure-hosted application calling a Foundry model endpoint?
- AMicrosoft Entra ID with a managed identity and role-based access control✓
- BA shared API key hardcoded in the application
- CAnonymous access to the endpoint
- DA username and password stored in the source repository
Correct answer: A — Microsoft Entra ID with a managed identity and role-based access control
A managed identity removes secrets from the application entirely and RBAC scopes what the identity may call. Hardcoded keys and repository-stored credentials leak, and anonymous access removes authorisation altogether.
Microsoft Learn — Authenticate to Azure AI servicesWhich metric would best evaluate a classification model that must catch as many fraudulent transactions as possible, even at the cost of some false alarms?
- ARecall✓
- BPrecision
- CMean absolute error
- DR-squared
Correct answer: A — Recall
Recall measures the proportion of actual positives that were caught, which is what matters when missing a fraud case is worse than investigating a false alarm. Precision measures how many flagged cases were real, and mean absolute error and R-squared are regression metrics.
Microsoft Learn — Evaluate classification modelsWhich capability of Azure AI Vision would you use to generate a human-readable sentence describing the contents of a photograph?
- AImage captioning✓
- BFace detection
- CSpatial analysis
- DBackground removal
Correct answer: A — Image captioning
Captioning produces a natural language description of an image. Face detection locates faces, spatial analysis interprets movement in video, and background removal isolates the foreground.
Microsoft Learn — Image analysisA company wants to predict the price a house will sell for based on its size, age, and location. Which type of machine learning workload is this?
- ARegression✓
- BClassification
- CClustering
- DAnomaly detection
Correct answer: A — Regression
Predicting a continuous numeric value such as a price is regression. Classification predicts a discrete category, clustering groups unlabelled records, and anomaly detection flags unusual observations rather than estimating a value.
Microsoft Learn — RegressionAn agent must never be able to delete customer records, even if a user asks it to. Where should this restriction be enforced?
- AIn the tool definitions and the identity's role assignments, so the capability does not exist✓
- BOnly in the system message text
- CBy lowering the temperature
- DBy shortening the max tokens setting
Correct answer: A — In the tool definitions and the identity's role assignments, so the capability does not exist
A prompt is guidance, not a security boundary, so a destructive capability the agent must never have should simply not be exposed as a tool or permitted by its role. Temperature and token limits are generation settings with no authorisation effect.
Microsoft Learn — Agent securityWhich two settings most directly control how varied a generative model's output is? (Select TWO.)
- ATemperature✓
- BTop P✓
- CMax tokens
- DDeployment region
- EEndpoint name
Correct answer: A, B — Temperature · Top P
Temperature and top P both shape the sampling distribution over next tokens and therefore how varied the output is. Max tokens caps length rather than creativity, and region and endpoint name are deployment details.
Microsoft Learn — Inference parametersWhich two are characteristics of a large language model? (Select TWO.)
- AIt predicts the next token based on the tokens it has already seen✓
- BIt is pre-trained on very large volumes of text✓
- CIt stores every training document verbatim for retrieval
- DIt guarantees factually correct output
- EIt requires a labelled dataset for every task
Correct answer: A, B — It predicts the next token based on the tokens it has already seen · It is pre-trained on very large volumes of text
Language models are next-token predictors trained on huge corpora, which is what gives them broad capability. They do not store documents verbatim for lookup, they can produce confident but wrong output, and they can perform many tasks with no task-specific labelled data.
Microsoft Learn — Fundamentals of generative AIA retailer wants to group customers into segments based on purchasing behaviour with no predefined categories. Which workload is this?
- AClustering✓
- BMulticlass classification
- CRegression
- DObject detection
Correct answer: A — Clustering
Grouping unlabelled records by similarity is clustering, an unsupervised technique. Multiclass classification requires known labels, regression predicts numbers, and object detection applies to images.
Microsoft Learn — ClusteringA developer wants to browse available models, compare them, and deploy one behind an endpoint from a single workspace. Which Microsoft Foundry feature provides this?
- AThe model catalog and deployments in the Foundry portal✓
- BAzure Monitor workbooks
- CAzure Resource Graph queries
- DAzure Policy definitions
Correct answer: A — The model catalog and deployments in the Foundry portal
Microsoft Foundry provides a model catalog for discovery and comparison and a deployments experience for standing up an endpoint. Monitor workbooks visualise telemetry, Resource Graph queries inventory, and Policy enforces governance rules.
Microsoft Learn — Model catalog in Microsoft FoundryA team is concerned that their AI system may not work well for users with disabilities. Which responsible AI principle addresses this?
- AInclusiveness✓
- BReliability and safety
- CPrivacy and security
- DAccountability
Correct answer: A — Inclusiveness
Inclusiveness is the principle about empowering everyone and engaging people across abilities and backgrounds. Reliability concerns consistent behaviour, privacy concerns data protection, and accountability concerns human answerability.
Microsoft — Responsible AI principlesWhich natural language processing capability determines whether a customer review is positive, negative, or neutral?
- ASentiment analysis✓
- BKey phrase extraction
- CLanguage detection
- DTranslation
Correct answer: A — Sentiment analysis
Sentiment analysis scores text for emotional polarity. Key phrase extraction returns the main talking points, language detection identifies which language the text is in, and translation converts it to another language.
Microsoft Learn — Sentiment analysisWhich Azure service is most commonly used as the vector index behind a RAG solution built in Microsoft Foundry?
- AAzure AI Search✓
- BAzure Service Bus
- CAzure Event Grid
- DAzure Batch
Correct answer: A — Azure AI Search
Azure AI Search provides vector, keyword, and hybrid retrieval and integrates directly with Foundry as a grounding data source. Service Bus and Event Grid are messaging services, and Batch runs compute jobs.
Microsoft Learn — Azure AI Search vector searchWhich scenario is an example of anomaly detection?
- AFlagging a credit card transaction that does not fit the account's normal pattern✓
- BTranslating a product description into French
- CGenerating a marketing image from a text prompt
- DSummarising a long report
Correct answer: A — Flagging a credit card transaction that does not fit the account's normal pattern
Anomaly detection identifies observations that deviate from an established normal pattern, which is exactly what unusual transaction flagging does. Translation, image generation, and summarisation are language and generative workloads.
Microsoft Learn — Anomaly detectionWhich two techniques reduce hallucination in a Foundry-based application? (Select TWO.)
- AGround responses in retrieved source documents✓
- BInstruct the model to answer only from the supplied context and to say when it does not know✓
- CIncrease temperature to encourage creativity
- DRemove the system message
- EIncrease the number of concurrent requests
Correct answer: A, B — Ground responses in retrieved source documents · Instruct the model to answer only from the supplied context and to say when it does not know
Grounding and an explicit instruction to abstain when the context is silent are the two standard mitigations. Higher temperature increases invention, removing the system message removes the guardrail instructions, and concurrency is a scaling concern.
Microsoft Learn — Responsible generative AIWhich service should be used to extract structured fields such as invoice number, date, and total from scanned invoices?
- AAzure AI Document Intelligence✓
- BAzure AI Translator
- CAzure AI Speech
- DAzure AI Content Safety
Correct answer: A — Azure AI Document Intelligence
Document Intelligence provides prebuilt and custom models that return typed fields and tables from documents such as invoices and receipts. Translator converts languages, Speech handles audio, and Content Safety filters harmful content.
Microsoft Learn — Azure AI Document IntelligenceA conversational AI solution must understand what a user wants to do and extract details such as dates and locations from their message. Which two concepts describe these? (Select TWO.)
- AIntent✓
- BEntity✓
- CEpoch
- DGradient
- ECheckpoint
Correct answer: A, B — Intent · Entity
The user's goal is the intent and the extracted details are entities, and together they drive the bot's response. Epochs, gradients, and checkpoints are model training concepts rather than conversational language understanding concepts.
Microsoft Learn — Conversational language understandingWhich approach best controls spend for a Foundry deployment serving unpredictable traffic?
- AUse a standard pay-as-you-go deployment with quota limits and monitor token usage✓
- BReserve maximum provisioned throughput permanently
- CDisable all logging
- DIncrease the max tokens setting
Correct answer: A — Use a standard pay-as-you-go deployment with quota limits and monitor token usage
Consumption-based deployment with quota limits matches cost to actual usage and quotas cap runaway spend, while usage monitoring shows where tokens go. Permanent maximum provisioning pays for idle capacity, disabling logging removes visibility, and raising max tokens increases cost.
Microsoft Learn — Manage quotaWhat distinguishes generative AI from traditional predictive machine learning?
- AGenerative AI creates new content such as text or images rather than only predicting a label or value✓
- BGenerative AI never requires training data
- CGenerative AI always runs on the client device
- DGenerative AI cannot be evaluated for quality
Correct answer: A — Generative AI creates new content such as text or images rather than only predicting a label or value
The defining difference is output: generative models produce new content, while predictive models output a class or a number. Generative models are trained on very large corpora, they usually run in the cloud, and their quality can be evaluated with human review and automated metrics.
Microsoft Learn — Fundamentals of generative AIA chatbot must answer questions from a company's internal PDF library, which is updated weekly. Which pattern should be implemented?
- ARetrieval Augmented Generation using an index over the documents✓
- BFine-tuning the model on the PDFs every week
- CPre-training a new model from scratch
- DRaising the model's temperature setting
Correct answer: A — Retrieval Augmented Generation using an index over the documents
RAG retrieves the relevant passages at query time and grounds the answer in them, so refreshing the index is all a weekly document update requires. Weekly fine-tuning is slow and expensive for changing facts, pre-training is out of reach for this purpose, and temperature only affects output variety.
Microsoft Learn — Retrieval Augmented GenerationWhat is a prompt in the context of a generative AI model?
- AThe input text and instructions given to the model to guide its output✓
- BThe learning rate used during training
- CThe hardware accelerator the model runs on
- DThe dataset used to pre-train the model
Correct answer: A — The input text and instructions given to the model to guide its output
A prompt is the instruction and context supplied at inference time that shapes what the model generates. Learning rate, hardware, and training corpora are all aspects of building the model rather than using it.
Microsoft Learn — Prompt engineeringA team wants to compare two prompt variations against a test dataset and score groundedness and relevance before shipping. Which Foundry capability supports this?
- AEvaluations with built-in quality metrics✓
- BCost Management budgets
- CAzure Advisor recommendations
- DResource locks
Correct answer: A — Evaluations with built-in quality metrics
Foundry evaluations run a dataset through a prompt or flow and score outputs with metrics such as groundedness, relevance, and coherence. Budgets track spend, Advisor gives platform recommendations, and resource locks prevent accidental deletion.
Microsoft Learn — Evaluate generative AI applicationsA company must ensure that data sent to a Foundry model deployment does not traverse the public internet. Which option achieves this?
- AA private endpoint on the resource with public network access disabled✓
- BA network security group on the client subnet only
- CAn API key rotated weekly
- DAzure Policy audit rules
Correct answer: A — A private endpoint on the resource with public network access disabled
A private endpoint gives the service a private IP inside the virtual network, and disabling public access ensures traffic cannot arrive any other way. A client-side network security group does not change the destination path, key rotation is an authentication practice, and audit policies only report.
Microsoft Learn — Configure private link for Azure AIA solution must let a model call an internal API to look up order status and then answer the user. Which Foundry capability supports this?
- AAgents with tools or function calling✓
- BBatch scoring pipelines
- CData labelling projects
- DCompute instance autoscaling
Correct answer: A — Agents with tools or function calling
Agents and function calling let the model choose a defined tool, receive its result, and compose an answer from it. Batch pipelines score data offline, labelling projects annotate training data, and compute autoscaling manages capacity.
Microsoft Learn — Foundry Agent ServiceWhich Azure service provides prebuilt language capabilities such as named entity recognition, PII detection, and summarisation through a REST API?
- AAzure AI Language✓
- BAzure Machine Learning compute clusters
- CAzure Data Factory
- DAzure Synapse Analytics
Correct answer: A — Azure AI Language
Azure AI Language exposes prebuilt natural language features including entity recognition, PII detection, key phrases, and summarisation. Machine Learning compute is infrastructure for custom models, and Data Factory and Synapse are data integration and analytics services.
Microsoft Learn — Azure AI LanguageAn AI system used for loan approval must be able to explain why it declined an application. Which two responsible AI principles does this most directly support? (Select TWO.)
- ATransparency✓
- BAccountability✓
- CInclusiveness
- DReliability and safety
- EPrivacy and security
Correct answer: A, B — Transparency · Accountability
Being able to explain a decision makes the system understandable, which is transparency, and it lets people be held answerable for outcomes, which is accountability. Inclusiveness is about serving everyone, reliability is about consistent safe behaviour, and privacy is about protecting data.
Microsoft — Responsible AI principlesWhich Foundry concept groups models, data, indexes, and deployments for a specific application team?
- AA project within a Foundry resource✓
- BA resource group lock
- CAn availability set
- DA management group
Correct answer: A — A project within a Foundry resource
A Foundry project is the workspace that holds a team's models, connections, indexes, evaluations, and deployments together. Resource locks prevent deletion, availability sets are a virtual machine construct, and management groups organise subscriptions.
Microsoft Learn — Foundry projectsAn application must stream the model's answer to the browser as it is generated. What is the main benefit?
- AThe user sees the first words sooner, improving perceived responsiveness✓
- BFewer output tokens are billed
- CThe answer becomes more accurate
- DContent filtering is no longer needed
Correct answer: A — The user sees the first words sooner, improving perceived responsiveness
Streaming is a user experience improvement: time to first token drops and long answers render progressively. It does not change token billing, does not improve accuracy, and does not remove the need for content filtering.
Microsoft Learn — Streaming completionsA RAG solution returns answers that ignore key details present in the retrieved documents. Which change is most likely to help?
- ARevise the system prompt to instruct the model to use all supplied context and increase the output token limit✓
- BReduce the number of retrieved results to one
- CDelete the search index
- DSet temperature to its maximum
Correct answer: A — Revise the system prompt to instruct the model to use all supplied context and increase the output token limit
If retrieval is returning the right content, the gap is in generation, so the prompt must instruct the model to synthesise across all passages and the response must have room to include them. Fewer results removes information, deleting the index removes grounding, and maximum temperature reduces faithfulness.
Microsoft Learn — Prompt engineeringAn application sends a very long document with every request and costs are rising. Which explanation is correct?
- AInput tokens are billed, so a large context increases the cost and latency of every call✓
- BThe model stores the document and charges for storage
- CLong input disables the endpoint
- DCost depends only on the number of requests, not their size
Correct answer: A — Input tokens are billed, so a large context increases the cost and latency of every call
Generative model pricing counts both input and output tokens, so repeatedly sending a large document is billed every time and also adds processing latency. The model does not retain the document between calls, long input does not disable anything, and request size directly affects cost.
Microsoft Learn — Manage token usage and costAn application must generate images from text descriptions for a marketing campaign. Which capability is required?
- AA text-to-image model deployed from the model catalog✓
- BA speech-to-text deployment
- CA translation endpoint
- DA document extraction model
Correct answer: A — A text-to-image model deployed from the model catalog
Generating an image from a written description requires a text-to-image generative model, which is deployed from the catalog like any other model. Speech, translation, and document extraction address entirely different modalities.
Microsoft Learn — Image generationWhich practice best supports monitoring a generative AI application in production?
- ALog request and response metadata, token usage, latency, and content filter events to Azure Monitor✓
- BRely on user complaints to detect problems
- CDisable diagnostics to reduce cost
- DCheck the portal manually once a month
Correct answer: A — Log request and response metadata, token usage, latency, and content filter events to Azure Monitor
Structured telemetry on usage, latency, and safety events is what makes regressions and cost surprises visible before users are affected. Waiting for complaints, disabling diagnostics, and monthly manual checks all leave the application effectively unmonitored.
Microsoft Learn — Monitor Azure AI resourcesWhich Microsoft responsible AI principle is most directly concerned with ensuring an AI system treats all groups of people equitably?
- AFairness✓
- BReliability and safety
- CTransparency
- DPrivacy and security
Correct answer: A — Fairness
Fairness is the principle about avoiding systematic disadvantage to particular groups. Reliability and safety concerns consistent, safe operation, transparency concerns understandability, and privacy and security concerns protecting data.
Microsoft — Responsible AI principlesWhich two are appropriate reasons to fine-tune a model rather than rely on prompting alone? (Select TWO.)
- AThe output must follow a very specific format that prompts do not enforce reliably✓
- BA large, high-quality labelled dataset for the task already exists✓
- CThe underlying facts change several times a day
- DThe team wants to avoid all additional training cost
- EOnly five example inputs are available
Correct answer: A, B — The output must follow a very specific format that prompts do not enforce reliably · A large, high-quality labelled dataset for the task already exists
Fine-tuning is worth its cost when behaviour must be baked in and there is enough labelled data to teach it. Rapidly changing facts belong in retrieval, avoiding training cost argues for prompting, and five examples is a few-shot prompt rather than a training set.
Microsoft Learn — Fine-tuning considerationsWhich two artefacts should be captured to make a deployed AI solution auditable? (Select TWO.)
- AThe model and version deployed to each endpoint✓
- BEvaluation results and the prompts used to produce them✓
- CThe colour scheme of the front-end application
- DThe number of browser tabs users had open
- EThe developer's local machine specification
Correct answer: A, B — The model and version deployed to each endpoint · Evaluation results and the prompts used to produce them
Knowing which model version is serving traffic and holding the evaluation evidence behind that decision is what makes an AI deployment auditable. Front-end styling, user browsing habits, and developer hardware have no bearing on the audit trail.
Microsoft Learn — Responsible AI governanceA model decides whether an incoming email is spam or not spam. Which workload type is this?
- ABinary classification✓
- BRegression
- CTime series forecasting
- DClustering
Correct answer: A — Binary classification
Choosing between exactly two labels is binary classification. Regression predicts numbers, forecasting predicts future values in a time-ordered sequence, and clustering has no labels at all.
Microsoft Learn — ClassificationA generative application must block prompts and responses containing hate speech or self-harm content. Which capability should be enabled?
- AAzure AI Content Safety filters on the deployment✓
- BAzure Firewall rules
- CNetwork security groups
- DAzure Key Vault access policies
Correct answer: A — Azure AI Content Safety filters on the deployment
Content Safety evaluates both input and output across harm categories and severity levels and blocks content that exceeds the configured thresholds. Firewalls and network security groups filter network traffic, and Key Vault policies control access to secrets.
Microsoft Learn — Azure AI Content SafetyWhich Azure AI Search feature combines keyword and vector results to improve retrieval quality?
- AHybrid search with semantic ranking✓
- BGeo-replication
- CIndexer scheduling
- DSynonym maps only
Correct answer: A — Hybrid search with semantic ranking
Hybrid search runs both keyword and vector queries and fuses the results, and semantic ranking then reorders them by relevance. Geo-replication is about availability, indexer scheduling controls ingestion timing, and synonym maps expand query terms without combining retrieval modes.
Microsoft Learn — Hybrid searchA prompt supplies three example question and answer pairs before the real question. What is this technique called?
- AFew-shot prompting✓
- BZero-shot prompting
- CFine-tuning
- DChunking
Correct answer: A — Few-shot prompting
Including a small number of demonstrations in the prompt is few-shot prompting and it steers format and style without changing the model. Zero-shot supplies no examples, fine-tuning updates model weights, and chunking splits documents for indexing.
Microsoft Learn — Prompt engineering techniquesWhich of these is a valid concern when deploying a generative AI chatbot to the public?
- AThe model may produce plausible but factually incorrect statements✓
- BThe model will refuse to respond to any prompt
- CThe model cannot be given instructions
- DThe model always returns identical output regardless of the prompt
Correct answer: A — The model may produce plausible but factually incorrect statements
Hallucination, meaning confident output that is not true, is the headline risk for a public-facing generative assistant. Models do respond, they accept system instructions, and their output varies with both the prompt and sampling settings.
Microsoft Learn — Responsible generative AIWhich Azure AI capability converts spoken audio in a meeting recording into written text?
- ASpeech to text✓
- BText to speech
- CSpeech translation only
- DLanguage detection
Correct answer: A — Speech to text
Speech to text transcribes audio into written words. Text to speech is the reverse, speech translation converts speech from one language to another and is a different service capability, and language detection identifies the language of written text.
Microsoft Learn — Speech to textWhich statement about system messages in a chat completion request is correct?
- AThey set persistent role, tone, and behavioural rules for the conversation✓
- BThey store the conversation history in a database
- CThey authenticate the caller to the endpoint
- DThey determine the deployment's region
Correct answer: A — They set persistent role, tone, and behavioural rules for the conversation
The system message carries standing instructions about the assistant's role and constraints, applied to every turn. History is application state, authentication uses Entra ID or keys, and region is a deployment property.
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