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Generative AI Leader Practice Question: Developing a generative AI application that will…
A company is developing a generative AI application that will be used by customers in the EU. To comply with the GDPR and the upcoming EU AI Act, which THREE measures should they implement? (Select 3)
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
✓
Store and process all user data within the EU or in regions with adequacy decisions
GDPR requires data residency/local processing (measures 1), explanation of AI decisions (right to explanation) (measure 3), and transparency about AI interaction (measure 5). The other options are not mandated by these regulations.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✓
Store and process all user data within the EU or in regions with adequacy decisions
Why this is correct
Data residency is a GDPR requirement for EU user data.
- ✗
Use only open-source models to ensure transparency
Why it's wrong here
Open-source is not required by law.
- ✗
Automatically delete all user logs after 30 days
Why it's wrong here
GDPR does not specify a fixed retention period; it depends on purpose.
- ✓
Provide users with the ability to obtain an explanation of the AI's decisions
Why this is correct
Right to explanation under GDPR and EU AI Act.
- ✓
Clearly inform users that they are interacting with an AI system
Why this is correct
Transparency requirement under EU AI Act.
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Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
This Generative AI Leader practice question is part of Courseiva's free Google Cloud 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 Generative AI Leader exam.