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PL-300 Prepare the data Practice Question

Which TWO data sources can be used with DirectQuery mode in Power BI? (Choose two.)

⚠ Common exam trap

Candidates often confuse DirectQuery with Import mode, assuming any data source can be used with DirectQuery, but only relational databases like SQL Server and Azure SQL Database support it, while file-based sources like Excel and CSV do not.

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

✓

SQL Server

DirectQuery mode in Power BI requires a data source that supports query pass-through to a backend engine, and SQL Server (option B) qualifies because Power BI issues native T-SQL queries against the relational database in real time without importing data. Azure SQL Database (option C) is likewise a supported DirectQuery source, since it is a cloud-based SQL Server engine that accepts the same T-SQL query folding and live connection pattern. In contrast, Excel workbook (A), CSV file (D), and SharePoint list (E) are file- or list-based sources that Power BI imports rather than querying live, so they are not valid DirectQuery data sources.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • ✗

    Excel workbook

    Why it's wrong here

    Excel workbooks are flat-file containers that lack a server-side query engine, so Power BI cannot translate report-level queries into pushdown operations against them. The Excel connector only supports import mode, which loads the entire workbook into the Power BI memory model. Because DirectQuery requires an external data source to process repeated subqueries, an Excel file cannot meet that technical requirement.

  • ✓

    SQL Server

    Why this is correct

    SQL Server is a full relational database management system with a query processor that accepts T-SQL requests over the Tabular Data Stream protocol. Power BI DirectQuery works by translating visual-level queries into native SQL commands that SQL Server executes in real time, allowing row-level security and large data volumes to be handled server-side. This pushdown capability is why SQL Server is a canonical DirectQuery source.

  • ✓

    Azure SQL Database

    Why this is correct

    Azure SQL Database is a PaaS offering that provides the same T-SQL interface and query engine as on-premises SQL Server. DirectQuery against Azure SQL Database pushes DAX-generated SQL queries to the cloud database, enabling near-real-time reporting without data duplication. It also supports Microsoft Entra ID authentication and fine-grained permissions, making it a robust direct-query source for cloud-based solutions.

  • ✗

    CSV file

    Why it's wrong here

    CSV files are raw text files with no indexing, metadata, or query engine—Power BI must read the entire file into memory to interpret its contents. Since DirectQuery requires the external source to process interactive subqueries, a CSV cannot support that interaction. Consequently, the CSV connector only provides import mode, which materializes the data in Power BI's VertiPaq engine.

  • ✗

    SharePoint list

    Why it's wrong here

    The SharePoint list connector does not support DirectQuery because SharePoint lists are exposed through a REST or OData service that lacks a database-grade query plane for Power BI's pushdown queries. Even though Power BI can import list data, any DirectQuery-like interaction is not available; using a dataflow to move the list into Azure SQL Database or a SQL Server would enable DirectQuery against that downstream relational source. Thus, SharePoint lists are not a direct-query-capable data source in their native form.

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Same concept, more angles

1 more way this is tested on PL-300

These questions test the same concept from different angles. Work through them to make sure you can recognise it however the exam phrases it.

Variation 1. Which TWO of the following are valid data source types in Power BI that support DirectQuery? (Select TWO.)

medium
  • ✓ A.Snowflake
  • B.Excel workbook
  • ✓ C.Azure Synapse Analytics
  • D.SharePoint Online List
  • E.JSON file

Why A: Snowflake is a cloud-based data warehouse that supports DirectQuery in Power BI, allowing queries to be sent directly to Snowflake without importing data into Power BI's in-memory engine. This is possible because Snowflake provides a SQL-based interface that Power BI can connect to via its native connector, enabling real-time querying of large datasets.

JA

Written by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

This PL-300 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 PL-300 exam.