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Microsoft AI-103 : Developing AI Apps and Agents on Azure

AI-103

Exam Code: AI-103

Exam Name: Developing AI Apps and Agents on Azure

Updated: Sep 16, 2026

Q & A: 159 Questions and Answers

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Microsoft AI-103 Exam Syllabus Topics:

SectionWeightObjectives
Topic 1: Plan and manage Azure AI solutions25–30%- Manage AI solution development lifecycle
  • 1. Configure model and agent deployments
  • 2. Monitor and maintain AI workloads
  • 3. Integrate with CI/CD pipelines
- Design Azure AI infrastructure
  • 1. Plan for security, compliance, and responsible AI
  • 2. Select appropriate Azure AI Foundry services
  • 3. Design for scalability, availability, and cost optimization
Topic 2: Implement text and speech analysis solutions10–15%- Implement speech capabilities
  • 1. Speech translation and speaker recognition
  • 2. Speech-to-text and text-to-speech integration
- Implement natural language processing
  • 1. Build conversational language understanding
  • 2. Use Azure AI Language services
  • 3. Perform sentiment analysis, entity recognition, and summarization
Topic 3: Implement computer vision solutions10–15%- Implement image analysis and processing
  • 1. Implement object detection and image classification
  • 2. Use Azure AI Vision services
  • 3. Extract text and structure from images
- Build multimodal solutions
  • 1. Process and analyze video content
  • 2. Combine vision and language capabilities
Topic 4: Implement information extraction and knowledge mining10–15%- Build knowledge bases and search solutions
  • 1. Design knowledge mining pipelines
  • 2. Implement Azure AI Search
  • 3. Create and manage vector indexes
- Extract structured data from documents
  • 1. Process forms, invoices, and unstructured content
  • 2. Use Azure AI Document Intelligence
Topic 5: Implement generative AI and agentic solutions30–35%- Build generative AI applications
  • 1. Implement function calling and tool use
  • 2. Implement prompt engineering and optimization
  • 3. Build retrieval-augmented generation (RAG) solutions
  • 4. Integrate Azure OpenAI and other models
- Design and implement intelligent agents
  • 1. Integrate agents with external systems and data sources
  • 2. Implement multi-agent workflows and orchestration
  • 3. Manage state, memory, and context
  • 4. Select agent architecture patterns

Microsoft Developing AI Apps and Agents on Azure Sample Questions:

Question #1
Hotspot Question
You have a Microsoft Foundry project that contains an agent named PaymentAgent.
PaymentAgent includes a function tool that issues customer refunds by using an external API.
You are creating a workflow in YAML.
You need to ensure that the workflow pauses for human approval and continues with the refund step only after approval is granted.
How should you complete the workflow definition? To answer, select the appropriate options in the answer area.
NOTE: Each correct selection is worth one point.


Question #2
Drag and Drop Question
You have a Microsoft Foundry project that uses Azure Content Understanding in Foundry Tools to analyze marketing videos.
Video segmentation is enabled.
You need to configure an analyzer to output a generated JSON field that describes the color scheme of each video segment.
How should you configure the analyzer? To answer, drag the appropriate values to the correct targets. Each value may be used once, more than once, or not at all. You may need to drag the split bar between panes or scroll to view content.
NOTE: Each correct selection is worth one point.


Question #3
Note: This section contains one or more sets of questions with the same scenario and problem. Each question presents a unique solution to the problem. You must determine whether the solution meets the stated goals. More than one solution in the set might solve the problem. It is also possible that none of the solutions in the set solve the problem.
After you answer a question in this section, you will NOT be able to return. As a result, these questions do not appear on the Review Screen.
You have a Microsoft Foundry project that contains an agent. The agent generates summaries from retrieved policy documents.
Users report that some responses omit required regulatory clauses, even when the clauses are present in the retrieved content.
You need to improve response completeness.
Solution: You increase the value of the max_tokensparameter.
Does this meet the goal?

A. Yes
B. No


Question #4
Note: This section contains one or more sets of questions with the same scenario and problem. Each question presents a unique solution to the problem. You must determine whether the solution meets the stated goals. More than one solution in the set might solve the problem. It is also possible that none of the solutions in the set solve the problem.
After you answer a question in this section, you will NOT be able to return. As a result, these questions do not appear on the Review Screen.
You have a multimodal AI generative model that accepts image uploads and uses extracted image text to generate responses.
You discover that users can upload unsafe images and embed hidden instructions into images to manipulate the model.
You need to implement controls to mitigate the risk.
Solution: You configure image moderation to block unsafe content before processing the images.
Does this meet the goal?

A. Yes
B. No


Question #5
You have a Microsoft Foundry project that generates product marketing images from text prompts.
After publishing several images, the legal team at your company identifies a competitor's logo on a sign in the background of an image.
You need to remove only the logo, while preserving the rest of the image.
What should you do?

A. Rerun the prompt by using a different random seed.
B. Modify the original prompt to exclude brand names.
C. Increase the prompt guidance strength.
D. Apply a mask-based inpainting edit to the part of the image that contains the logo.


Solutions:

Question #1
Correct Answer: Only visible for members
Question #2
Correct Answer: Only visible for members
Question #3
Correct Answer: B
Question #4
Correct Answer: A
Question #5
Correct Answer: D

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