AI-102 Implement agentic AI solutions — 20 Questions

Question 1

A company is building an agent that uses Azure OpenAI Service to answer customer queries by querying a SQL database. The agent must be able to handle complex multi-turn conversations and maintain context. Which approach should the team use to implement the agent?

Accepted Answer

Use a conversational agent framework like AutoGen with a tool that executes SQL queries, and maintain conversation state.. Option D is correct because AutoGen is a conversational agent framework designed for multi-turn, stateful interactions. It can maintain conversation context across turns and integrate a tool to execute SQL queries, which directly meets the requirement for complex multi-turn conversations with context retention. The other options either lack state management or rely on stateless prompt engineering, which is insufficient for maintaining context in a multi-turn agent.

Answer

Use a single prompt that includes the entire conversation history and the latest user question, then generate SQL.

Answer

Use a chain-of-thought prompt to generate SQL queries directly from user input, without maintaining conversation history.

Answer

Use embeddings-based retrieval to find relevant past interactions and include them in the prompt.

Question 2

A healthcare company is developing an agent that processes patient records and suggests treatment plans. The agent must comply with HIPAA regulations. Which service should the team use to ensure data privacy and compliance?

Accepted Answer

Azure AI Services deployed in a private endpoint with no data leaving the network.. Option D is correct because deploying Azure AI Services within a private endpoint, combined with ensuring no data leaves the network, aligns with HIPAA's requirement for data privacy and compliance. This configuration uses Azure Private Link to keep all traffic within the Microsoft backbone network, preventing exposure to the public internet and meeting the strict data residency and encryption standards mandated by HIPAA.

Answer

Microsoft Bot Framework SDK with a custom connector.

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Azure Cognitive Search with custom analyzers.

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Azure OpenAI Service with data processing enabled.

Question 3

A company is using Azure OpenAI Service to power a customer support agent. The agent sometimes generates incorrect information when it cannot find an answer in the knowledge base. The team wants to ensure the agent only responds using information from the knowledge base and explicitly states when it does not know the answer. Which configuration should the team use?

Accepted Answer

Use 'use your own data' feature with strict content filtering and set the model to only respond based on retrieved documents.. Option C is correct because the 'use your own data' feature in Azure OpenAI Service allows you to restrict the model to answer only from the retrieved documents, ensuring responses are grounded in the knowledge base. Strict content filtering further prevents the model from generating unverified information, and the explicit setting to respond based solely on retrieved documents directly addresses the requirement to state when it does not know the answer.

Answer

Use a custom model fine-tuned on the knowledge base and disable content filtering.

Answer

Use a system message that says 'If you don't know, say you don't know' and rely on the model's training.

Answer

Use prompt engineering with a system message that instructs the model to only answer from the knowledge base, with no additional filtering.

Question 4

An e-commerce company wants to build an agent that helps users track orders, initiate returns, and answer FAQs. The agent should be available on the company's website and mobile app. Which Azure service should the team use to deploy the agent?

Accepted Answer

Azure Bot Service. Azure Bot Service is the correct choice because it provides a managed environment for building, deploying, and scaling conversational AI agents that can be integrated with multiple channels, including websites and mobile apps. It supports the Bot Framework SDK, which enables the agent to handle order tracking, returns, and FAQs through natural language understanding (NLU) with LUIS or the newer CLU service.

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Azure Logic Apps

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Azure API Management

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Azure Functions

Question 5

A company is developing an agent that uses Azure AI Language to extract entities and intents from user queries. The agent receives a query: 'Book a flight to Paris on Friday.' The agent should extract the intent as 'BookFlight' and entities as 'Paris' (destination) and 'Friday' (date). The team uses a custom entity extraction model. After testing, the model extracts 'Paris' as location but fails to extract 'Friday' as date. What should the team do to fix this?

Accepted Answer

Train the entity extraction model with more examples of dates.. Option C is correct because the custom entity extraction model in Azure AI Language requires sufficient labeled examples for each custom entity type to learn patterns. Since the model extracts 'Paris' (location) but fails on 'Friday' (date), the issue is specifically with the date entity's training data, not the location. Adding more diverse examples of date expressions (e.g., 'next Monday', 'tomorrow', 'March 5th') will improve the model's ability to recognize 'Friday' as a date entity.

Answer

Increase the training data for location entities.

Answer

Add a prebuilt entity component for date.

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Use a different intent classification model.

Question 6

A financial services company is building an agent that uses Azure OpenAI to generate investment advice. The agent must be monitored for toxicity and bias. Which combination of services should the team use to implement content safety monitoring?

Accepted Answer

Azure AI Content Safety and Azure OpenAI content filtering.. Azure AI Content Safety provides built-in models for detecting harmful content such as hate speech, self-harm, and sexual content, while Azure OpenAI content filtering applies configurable severity-level filters (e.g., low, medium, high) to model inputs and outputs. Together, they enable real-time monitoring of toxicity and bias in generated investment advice, meeting compliance requirements for financial services.

Answer

Azure Cognitive Search and Azure AI Language.

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Azure Bot Service and Azure Logic Apps.

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Azure Machine Learning and Azure Functions.

Question 7

A company is building an agent that needs to perform tasks like sending emails and updating a CRM system. The agent uses Azure OpenAI with function calling. The team defines functions for these tasks. When the agent is tested, it sometimes calls the wrong function or invents function names. What should the team do to improve the reliability of function calling?

Accepted Answer

Provide better function descriptions with examples of when to use each function.. Option D is correct because providing better function descriptions with examples directly improves the model's ability to select the appropriate function. Azure OpenAI's function calling relies on the semantic understanding of the function definitions; clear descriptions and usage examples reduce ambiguity, helping the model map user intent to the correct function signature without hallucinating names.

Answer

Fine-tune the model on a dataset of correct function calls.

Answer

Reduce the number of functions to only the most common ones.

Answer

Set the temperature parameter to 0 for deterministic output.

Question 8

A company is developing an agent that uses Azure AI Vision to analyze images uploaded by users. The agent must identify objects and read text in images. The team uses the Azure AI Vision API. During testing, the agent fails to read text from images with low contrast. What should the team do to improve optical character recognition (OCR) accuracy for such images?

Accepted Answer

Pre-process the image to adjust contrast and brightness before calling the OCR API.. Option B is correct because Azure AI Vision's OCR API performs best on images with sufficient contrast and brightness. Pre-processing the image (e.g., using OpenCV or PIL to adjust contrast and brightness) enhances text visibility, directly improving OCR accuracy for low-contrast images without changing the API or training a custom model.

Answer

Use a different OCR API from Azure Cognitive Services.

Answer

Train a custom OCR model using Azure Custom Vision.

Answer

Increase the confidence threshold for text detection.

Question 9

A company is building an agent that uses Azure OpenAI to answer questions from a large document library. The agent must use a Retrieval Augmented Generation (RAG) pattern. Which TWO actions should the team take to implement RAG effectively?

Accepted Answer

Index the documents into a vector database like Azure Cognitive Search.. Option C is correct because indexing documents into a vector database like Azure Cognitive Search enables efficient similarity search over embeddings, which is the retrieval foundation of RAG. This allows the system to quickly find the most relevant document chunks based on semantic meaning, rather than relying on the model to memorize or be fine-tuned on the entire library.

Answer

Ensure the model is large enough to memorize the entire document library.

Answer

Fine-tune the Azure OpenAI model on the document library.

Answer

Train a custom language model from scratch.

Question 10

An agent uses Azure OpenAI with function calling to perform actions. The agent is not executing functions correctly. Which THREE factors should the team check to diagnose the issue?

Accepted Answer

The token limit is too low, truncating the function definitions.. Option B is correct because if the token limit is too low, the model may not receive the full function definitions, causing it to omit or misinterpret available functions. This truncation prevents the model from correctly selecting or formatting function calls, leading to execution failures.

Answer

The temperature parameter is set too high.

Answer

The model version is outdated.

Question 11

A company wants to deploy an agent using Azure Bot Service that integrates with Microsoft Teams. Which THREE steps should the team take?

Accepted Answer

Use the Bot Framework SDK to build the bot with Teams-specific features.. Option A is correct because the Bot Framework SDK provides the necessary APIs and tools to build bots that can leverage Teams-specific features such as adaptive cards, messaging extensions, and task modules. Without the SDK, you cannot implement the channel-specific logic required for Teams integration.

Answer

Deploy the bot code to an Azure Function.

Answer

Write the bot in C# using Azure SDK for .NET.

Question 12

An agent uses Azure AI Language to perform sentiment analysis on customer feedback. The team notices that the sentiment scores are sometimes inaccurate for negative feedback. Which TWO improvements should the team consider?

Accepted Answer

Pre-process the text to handle negations and sarcasm.. Option A is correct because Azure AI Language's pre-built sentiment analysis models can struggle with linguistic nuances like negations (e.g., 'not good') and sarcasm (e.g., 'Great, another delay'). Pre-processing the text to explicitly handle these patterns—such as by expanding contractions or using negation detection—can improve the accuracy of the sentiment scores before they are passed to the model.

Answer

Switch to a different language model without fine-tuning.

Answer

Increase the number of decimal places in the sentiment score.

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Increase the confidence threshold for positive sentiment.

Question 13

You are building an agent for a legal firm that uses Azure OpenAI to analyze contracts. The agent must extract key clauses, identify risks, and summarize the contract. The agent uses a RAG pattern with Azure Cognitive Search as the vector database. After deployment, the agent sometimes returns irrelevant information or fails to find relevant clauses. You suspect the issue is with the chunking strategy. The contracts are large, typically 50-100 pages. Currently, you are chunking by page (each page is one chunk). You want to improve retrieval accuracy. Which action should you take?

Accepted Answer

Change chunking to use semantic boundaries: split at clause or section headings.. Option D is correct because splitting contracts at semantic boundaries (clause or section headings) preserves the natural meaning and context of each chunk, which is critical for legal document analysis. Page-level chunking often splits a clause across two pages, causing the vector search to retrieve incomplete or irrelevant information. By aligning chunks with the document's logical structure, the RAG pattern retrieves more coherent and relevant passages for the Azure OpenAI agent to process.

Answer

Keep page-level chunking but add 50% overlap between chunks.

Answer

Use a different embedding model, such as text-embedding-3-large.

Answer

Increase the chunk size to 5 pages per chunk and reduce overlap.

Question 14

Drag and drop the steps to implement an Azure AI Bot Service with QnA Maker into the correct order.

Question 15

Match each Azure AI pricing tier to its description.