AI-102 Implement generative AI solutions Practice Question
Your company wants to build a custom Copilot for customer support using Microsoft Copilot Studio. The support team needs to query a backend CRM system securely using the Copilot. Which authentication method should you configure for the custom connector to the CRM?
⚠ Common exam trap
Candidates often choose API key authentication because it seems simpler, but Microsoft Copilot Studio connectors for secure backend systems require OAuth 2.0 to support user delegation and token lifecycle management, not static keys.
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
✓
Microsoft Entra ID OAuth 2.0
Microsoft Entra ID OAuth 2.0 is the correct authentication method because it provides secure, token-based delegated access to the backend CRM system without exposing long-lived credentials. Copilot Studio connectors that require user context and secure resource access should use OAuth 2.0 with Microsoft Entra ID, which supports modern authentication flows like authorization code grant and can enforce conditional access policies.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✓
Microsoft Entra ID OAuth 2.0
Why this is correct
Microsoft Entra ID OAuth 2.0 lets Copilot Studio authenticate to the CRM through delegated, token-based authorisation, so the support team queries CRM data securely without embedding credentials. This satisfies the stem's secure backend CRM authentication requirement.
- ✗
API key authentication
Why it's wrong here
API keys are less secure and not recommended for production connectors.
- ✗
Basic authentication
Why it's wrong here
Basic authentication sends a username and password with each request and cannot enforce modern token or consent controls for per-user CRM access. It is tempting because it is the simplest connector credential to configure, and it would be correct for a legacy API that offers no other authentication scheme.
- ✗
Client certificate authentication
Why it's wrong here
Client certificate authentication requires the connector to present a certificate, which Copilot Studio cannot supply for a per-user CRM query. It is tempting because certificates suit server-to-server integrations, and it would be correct for a daemon or service principal calling the CRM without user context.
Go deeper
Related to this question
About these practice questions
Courseiva writes every AI-102 question from scratch — 761 in total, each with an explanation and a wrong-answer breakdown. None are copied from real exams or dumps. Learn why practice questions differ from exam dumps →
JA
Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
This AI-102 practice question is part of Courseiva's free Microsoft 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 AI-102 exam.