AI0-001 Implementing AI Solutions Practice Question
A company is choosing between fine-tuning and RAG for a legal document assistant. Which TWO factors would MOST strongly favor RAG over fine-tuning?
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
The legal documents are updated frequently (weekly)
RAG allows dynamic retrieval from a changing document base without retraining, and provides citation sources for transparency — critical in regulated domains like law.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✓
The legal documents are updated frequently (weekly)
Why this is correct
RAG retrieves current documents at inference time, avoiding costly retraining cycles.
- ✗
The model needs to understand complex legal terminology
Why it's wrong here
Fine-tuning is better for embedding domain-specific language; RAG relies on retrieval quality.
- ✗
The queries require deep reasoning across multiple documents
Why it's wrong here
Both approaches can handle multi-document reasoning; fine-tuning may even be better for integrating cross-document knowledge.
- ✓
The assistant must cite specific sources for its answers
Why this is correct
RAG naturally retrieves and can cite source documents; fine-tuning does not easily provide citations.
- ✗
The company has limited compute budget for training
Why it's wrong here
RAG may require more inference compute (retrieval + generation), but fine-tuning has high upfront training cost.
About these practice questions
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JA
Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
This AI0-001 practice question is part of Courseiva's free CompTIA certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the AI0-001 exam.