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

  • Exam Code: AI-103
  • Exam Name: Developing AI Apps and Agents on Azure
  • Updated: Aug 31, 2026
  • Q&As: 159 Questions and Answers

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Microsoft AI-103 Exam Syllabus Topics:

SectionObjectives
Develop Generative AI Applications and Agents- AI agents architecture
  • 1. Agent orchestration and workflows
    • 2. Memory and state management
      - Azure OpenAI Service integration
      • 1. Prompt engineering and prompt flow design
        • 2. Function calling and tool use
          Implement Computer Vision Solutions- Image classification and object detection
          - OCR and document intelligence
          Plan and Manage Azure AI Solutions- Model selection and lifecycle management
          - Azure AI resource provisioning and configuration
          - Responsible AI principles and governance
          Implement Natural Language Processing Solutions- Text analytics and summarization
          - Language understanding and intent recognition
          - Translation and multilingual support
          Knowledge Mining and Information Retrieval- RAG (Retrieval Augmented Generation) patterns
          - Indexing and semantic search
          - Azure AI Search configuration

          Microsoft Developing AI Apps and Agents on Azure Sample Questions:

          Question 1

          You have an application that uses a prebuilt Azure Language model.
          You need to generate a summary that meets the following requirements:
          - Identify each presenter in the video and attribute each text file to
          sentences
          - Preserves the original sentence order
          - Returns exactly three sentences
          Which Language service feature should you use?

          A. sentiment analysis
          B. key phrase extraction
          C. abstractive summarization
          D. extractive summarization


          Question 2

          You have an application named App1 that uses Azure Speech in Foundry Tools to transcribe live calls.
          Transcript segments often contain both English and Spanish. App1 sends each segment to Azure Translator in Foundry Tools to translate to another language.
          Sometimes, mixed-language segments result in incomplete or incorrect translations.
          You need to reduce translation errors. The solution must ensure that the entire transcript is translated successfully.
          What should you do before sending the segments to Translator?

          A. Specify English as the source language in the translation request for all the segments.
          B. Split the mixed-language segments into single-language segments and translate each segment separately.
          C. Use document translation to translate the entire transcript as a single document.
          D. Enable automatic language detection for the translation request.


          Question 3

          You are building a voice agent for a pharmacy. It must accept spoken questions, reply with synthesised speech, and accurately recognise specialised medicine names that a general speech model often mishears. Which capability should you configure?

          A. Azure Translator to convert the audio
          B. A custom speech model for speech-to-text within the agent
          C. Only the default text-to-speech voice
          D. Azure AI Document Intelligence on the audio stream


          Question 4

          A copilot must answer multi-part questions that depend on earlier turns in the conversation. You want the system to break each complex question into focused subqueries, run them in parallel, and semantically rerank the results before composing an answer. Which Azure AI Search capability provides this?

          A. Agentic retrieval
          B. Increasing the top-k value on a single keyword query
          C. Classic keyword search with a scoring profile
          D. A single vector query with a high similarity threshold


          Question 5

          You have a product support manual.
          You need to build a product support chatbot based on the manual. The solution must minimize development effort and costs.
          What should you use?

          A. Azure AI Document intelligence
          B. Azure OpenAI GPT-4 with grounding data that uses Azure AI Search
          C. Azure AI Language Custom question answering
          D. Azure AI Phi-3-medium with fine-tuning


          Solutions:

          Question 1
          Answer: D
          Question 2
          Answer: B
          Question 3
          Answer: B
          Question 4
          Answer: A
          Question 5
          Answer: B

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