AB-900 Microsoft 365 Copilot and Agent Administration Fundamentals Free Practice Exam Questions (2026 Updated)

The correct answer is B. data loss prevention (DLP) policies . Microsoft Learn states that Microsoft Purview Data Loss Prevention helps organizations identify, monitor, and automatically protect sensitive information across Microsoft 365 locations such as Exchange, SharePoint, OneDrive, Teams, and devices . Microsoft specifically documents scenarios for preventing sensitive items from being shared with external users in SharePoint and OneDrive, and DLP policies can also block or restrict sharing based on sensitive information types, labels, or policy conditions. This is exactly the control used when the requirement is to stop users from sharing corporate financial data outside the organization.

Option A is incorrect because retention labels manage how long content is kept or deleted, not whether it can be shared externally. Option C is incorrect because role groups are used for permissions and administrative access delegation, not content-sharing prevention. Option D is incorrect because Insider Risk Management is designed to detect and investigate risky user behavior, not to directly block external sharing transactions in the way DLP policies do. For proactive enforcement of external-sharing restrictions on sensitive financial information, Microsoft’s documented solution is DLP policies .

The correct answer is C. the Microsoft 365 Copilot dashboard in Microsoft Viva Insights . Microsoft documents that the Microsoft Copilot Dashboard in Viva Insights provides detailed organizational reporting for Copilot usage and impact, including meeting-related metrics such as total meeting hours summarized or recapped , intelligent recap actions taken using Copilot , and summarize meeting actions taken using Copilot in Teams . Those metrics directly match the scenario in the question.

The other options are less suitable. The Microsoft 365 Apps usage report focuses on app usage generally, not detailed Copilot-in-Teams behavior. The Copilot readiness report is for readiness and deployment planning, not deep Teams usage metrics. The Microsoft 365 Copilot usage report in the admin center provides adoption information, but Microsoft’s detailed meeting-action and meeting-hours metrics are documented in the Viva Insights Copilot Dashboard . Therefore, for detailed Teams-specific Copilot reporting during a pilot, the best answer is the Microsoft 365 Copilot dashboard in Microsoft Viva Insights .

From the SharePoint admin center, you can create a site .

The correct answer is site . Microsoft documents that in the SharePoint admin center , administrators can go to Active sites and select Create to create a new SharePoint site, such as a team site or communication site . Microsoft also describes site creation as one of the key tasks available to users with the SharePoint Administrator role.

The other options do not fit this sentence. A server is not something you create from the SharePoint admin center in Microsoft 365, because SharePoint Online is a Microsoft-managed cloud service. A user is typically created in the Microsoft 365 admin center or Microsoft Entra admin center, not in the SharePoint admin center. A role is also assigned through Microsoft 365 or Microsoft Entra administrative experiences, not created from the SharePoint admin center as the primary task described here.

So the sentence is correctly completed as: From the SharePoint admin center, you can create a site.

The correct answer is B. using a custom agent that is grounded in work data . Microsoft Learn states that agents that access shared tenant data , such as SharePoint or Graph Connector content, are billed based on metered consumption . Microsoft also describes pay-as-you-go for Microsoft 365 as applying to agents in Microsoft 365 Copilot Chat , where organizations pay only for the messages used instead of assigning a full Microsoft 365 Copilot license. That is exactly the scenario described in option B: a custom agent grounded in work data.

The other options are not the intended pay-as-you-go scenario. A Teams meeting recap and Copilot in Word are standard Microsoft 365 Copilot application experiences tied to licensed Copilot functionality, not metered agent consumption. Researcher is an advanced Microsoft 365 Copilot agent available as part of Microsoft 365 Copilot capabilities, not the documented example of pay-as-you-go replacing a Copilot license. Microsoft’s pay-as-you-go guidance centers on agent-based usage , especially agents grounded in organizational work data.

The correct selections are No, Yes, Yes . Statement 1 is No because Microsoft documents tenant controls for web search on or off , but not a general Microsoft 365 Copilot setting to block only selected websites for normal Copilot responses. Microsoft also says it doesn’t recommend or support managing Copilot through selective URL or domain blocking at the network level. Website allow/block lists shown in Microsoft documentation apply to Researcher with Computer Use virtual-device settings, not to standard Microsoft 365 Copilot web grounding overall.

Statement 2 is Yes because Microsoft provides the Allow web search in Copilot policy in Cloud Policy service and in the Microsoft 365 admin center, which can disable web search for Microsoft 365 Copilot and Copilot Chat.

Statement 3 is Yes because Microsoft states that admins can block Researcher and Analyst , and agent governance includes a Block action. Microsoft also notes that for Researcher and Analyst, user scoping isn’t edited through the usual panel; availability is managed by blocking the selected agent at the tenant level.

The correct answer is C. Microsoft Graph . Microsoft documents that Microsoft 365 Copilot combines large language models with content and context from the Microsoft Graph to generate grounded responses. Microsoft Graph provides access to organizational data and signals across Microsoft 365 services, including SharePoint , OneDrive , Exchange , Teams , calendars, chats, files, and other work content. When SharePoint data is relevant to the prompt and the user already has permission to access it, Copilot uses Microsoft Graph as the layer that retrieves and grounds that corporate data for the response.

The other options are incorrect for this question. Microsoft Intune is used for endpoint and device management. Microsoft Defender is used for threat protection and security operations. Microsoft Purview provides compliance, governance, data protection, and risk management capabilities. While Copilot honors Purview protections and Microsoft 365 permissions, the specific service it uses to access and ground responses in SharePoint-based corporate data is Microsoft Graph . Therefore, the correct answer is Microsoft Graph .

The correct answer is Connectors . Microsoft documents that Microsoft 365 Copilot connectors are used to bring external, line-of-business data into Microsoft 365 Copilot so users can search, reason over, and act on content from non-Microsoft systems. Microsoft also states that admins must enable and configure Copilot connectors in the Microsoft 365 admin center , and once configured, those connectors can be selected as knowledge sources for custom agents. This directly matches the requirement to let users use an external system as a knowledge source for custom Microsoft 365 Copilot agents.

This is why the hotspot in the Copilot area should be set to Connectors , not Overview, Agents, Search, Billing & usage, or Settings. Overview provides status information, Agents is for agent management, Search is for Microsoft Search experiences, and Billing & usage is for metering and consumption tracking. The specific admin feature that enables external enterprise data sources for agent grounding is Connectors . Microsoft further explains that configured connectors can expose external knowledge securely and respect source-level permissions when used in agent scenarios.

The correct selections are Yes, No, Yes . Microsoft states that Microsoft 365 Copilot inherits the security, compliance, and privacy policies already configured in Microsoft 365, including Microsoft Purview sensitivity labels and other compliance controls. That makes statement 1 Yes . Microsoft also explains that Copilot respects existing access controls and compliance boundaries rather than bypassing them.

Statement 2 is No because Microsoft 365 Copilot does not ignore Microsoft Purview DLP . Microsoft documents that Copilot honors the protections applied to the underlying content and works within Microsoft 365’s existing compliance framework. DLP remains part of the environment governing how sensitive data is protected and shared.

Statement 3 is Yes because Microsoft clearly states that Copilot only surfaces content that a user is already authorized to access through existing Microsoft 365 permissions . Copilot uses Microsoft Graph to ground responses, but it does not grant new permissions or expose content outside the user’s allowed scope. Therefore, the correct hotspot answers are Yes , No , and Yes .

The correct answer is A. the SharePoint admin center . Microsoft documents that the SharePoint admin center includes Data access governance reports and site-level sharing reports that help administrators identify where content is shared externally. Microsoft also documents that every standard Microsoft Teams team is connected to a SharePoint site for file storage and collaboration. Because Teams files and many sharing scenarios for teams are backed by SharePoint sites, the SharePoint admin center is the correct place to investigate which sites are shared externally, including Teams-connected SharePoint sites .

The other options are less suitable for this requirement. The Teams admin center is primarily for Teams policy, user, device, and workload administration, but it is not the main portal Microsoft documents for identifying externally shared site content. The Microsoft 365 admin center focuses on broad tenant administration and usage reporting, and the Microsoft Defender portal is for security investigation rather than SharePoint/Teams sharing governance. For identifying externally shared SharePoint sites and Teams-connected sites, Microsoft’s documented reporting path is the SharePoint admin center .

The correct answer is B. Data explorer. Microsoft Learn states that Data explorer in Microsoft Purview shows a current snapshot of items that have been classified as a sensitive information type in your organization. Microsoft’s sensitive information type documentation specifically lists examples such as social security numbers and credit card numbers, which means Data explorer is the appropriate portal feature for identifying files and emails that contain those data types. Data explorer is designed to help administrators see where sensitive data exists across supported Microsoft 365 locations.

The other options are less appropriate for this task. Information Protection reports focus more broadly on label and protection reporting. Information Protection policies are for configuring classification and protection behavior, not for finding existing files and emails containing SSNs or credit card numbers. Activity explorer is primarily used to review user and policy-related activities, such as label changes or DLP events, rather than to provide the direct sensitive-data inventory view requested here. Since the question asks to identify the files and emails containing specific sensitive information types, Microsoft’s documented answer is Data explorer.

The correct selections are No, Yes, No . Statement 1 is No because Microsoft 365 Copilot is a work service that requires users to sign in with a work or school account . Microsoft documentation for setup and use consistently describes licensing and access in the context of signed-in organizational users, not anonymous access. Statement 2 is Yes because Microsoft documents that administrators can manage self-service purchases and trials in the Microsoft 365 admin center , including allowing or blocking eligible products for self-service acquisition. That means admins can allow self-service purchasing where the product is eligible. Statement 3 is No because Microsoft explicitly states that assigning Microsoft 365 Copilot licenses to cross-tenant users, including guests , isn’t supported.

The correct answer is A . Microsoft Learn defines Zero Trust as a security strategy built on the principles verify explicitly , use least privilege access , and assume breach . Microsoft also summarizes Zero Trust as a model that assumes breach and verifies every request , rather than trusting users, devices, or traffic simply because they originate from inside the corporate network. This is the key reason option A is correct. Under Zero Trust, every access request should be evaluated continuously using available signals such as identity, device state, location, service, and risk.

Option B is incorrect because improving user experience is not the defining principle of Zero Trust. Option C is incorrect because Zero Trust requires ongoing review and adjustment of permissions, especially through least privilege and risk-based access. Option D is incorrect because Zero Trust explicitly rejects implicit trust based on network location. Microsoft states that organizations should reduce reliance on the traditional idea that anything on the internal network is automatically safe or trustworthy.

The correct answer is D. an app registration . Microsoft Learn states that to delegate identity and access management functions to Microsoft Entra ID , an application must be registered with a Microsoft Entra tenant . When you register an application, you create its identity configuration in Microsoft Entra, and a corresponding service principal is created so the application can authenticate and integrate with the tenant. This is the standard Microsoft mechanism for allowing a third-party cloud service or app to authenticate to Microsoft Entra.

The other options do not provide the app identity required for authentication. Multifactor authentication (MFA) strengthens user sign-ins, but it does not onboard a third-party service as an application identity in Entra. Conditional Access enforces access policies after authentication and authorization decisions are being made; it does not create the application identity itself. A Microsoft 365 Copilot connector is used to bring external data into Microsoft 365 experiences, not to let a third-party cloud service authenticate to Microsoft Entra. Therefore, the correct configuration is an app registration .

The correct answer is Microsoft 365 Copilot . Microsoft Learn states that Restricted SharePoint Search (RSS) gives organizations time to review and correct permissions on SharePoint sites, and then add only those reviewed sites to an allowed list that Copilot can access . That means RSS is specifically about restricting Copilot’s access to SharePoint content, not blocking administrators, guest users, or Microsoft Purview eDiscovery from those sites.

This distinction is important. Microsoft explains that users can still access SharePoint content based on their normal permissions, while RSS limits what Microsoft 365 Copilot can use as grounding data until site permissions are reviewed and approved. So the feature helps reduce oversharing risk in Copilot without removing a user’s direct ability to find or open content they already have permission to access in SharePoint. In other words, the restriction is placed on Copilot’s searchable grounding scope , not on the user’s own SharePoint permissions. That is why the sentence is correctly completed with Microsoft 365 Copilot .

The correct answer is C. the Microsoft 365 admin center . Microsoft Learn documents a specific Copilot image generation setting in the Microsoft 365 admin center under Copilot > Settings > Copilot actions > Copilot image generation . Microsoft states that when this scenario is allowed, users can ask Copilot to create, design, and edit images. When it is not allowed, Copilot does not generate images and instead responds with stock or brand images. This directly matches the requirement to prevent users from generating images by using Copilot.

The other options are incorrect because Microsoft does not document this control as being managed from Defender, Purview, or Entra for this scenario. Microsoft also separately notes that organizations can control access to Designer image generation through policy, but the admin experience for managing the Microsoft 365 Copilot scenario itself is explicitly surfaced in the Microsoft 365 admin center . Therefore, for an exam question focused on where an admin should go to disable image generation in Copilot, the best and documented answer is the Microsoft 365 admin center .

The correct answer is C. the code interpreter capability . Microsoft Learn states that the code interpreter capability for Microsoft 365 Copilot declarative agents allows the agent to generate and execute Python code to analyze data and generate visualizations . Microsoft’s agent schema documentation explicitly describes Code Interpreter as a capability used to solve complex math problems, analyze data, and generate visualizations. That directly matches the requirement to create charts and visualizations from a Microsoft Excel workbook .

Microsoft documentation also explains that code interpreter supports working with Excel files and is used for scenarios such as data analysis , statistical computations , and generating charts . This makes it the correct configuration for an agent that must reason over workbook data and produce chart-based outputs. By contrast, the image generator capability is for creating images, not for analyzing workbook data. The Scrum Assistant and Customer Insights Assistant options are templates, not the specific technical capability required to read data and build charts from an Excel workbook.

The correct answer is D. the Analyst agent in Microsoft 365 Copilot . Microsoft Learn training for Microsoft 365 Copilot specifically distinguishes the Analyst agent as the tool for gathering insights from data and enhancing data presentations. Microsoft’s guidance also notes in the Researcher FAQ that when the task is spreadsheet-related , Analyst agent is better suited for Microsoft Excel related tasks . This makes Analyst the best choice for a quarterly sales reporting scenario that involves detecting performance trends , surfacing anomalies , and producing visual insights from multiple datasets.

The other options are less suitable. Researcher is intended for complex multi-step research and source-cited reports across web and work content, not specialized data analysis across files. Microsoft 365 Copilot Search is for finding information, not for deep quantitative analysis and anomaly summarization. Copilot in Excel is powerful for workbook-level analysis, but the question emphasizes broader insight generation across multiple files and asks for the best Copilot experience for trends, visuals, and anomaly summaries. Microsoft positions Analyst as the dedicated agent for that kind of data-analysis workflow.

time-bound role activation

The correct answer is time-bound role activation . Microsoft Learn explains that Microsoft Entra Privileged Identity Management (PIM) allows users to be made eligible for privileged roles and then activate those roles only when needed. Microsoft also states that once activated, the role is active for a preconfigured period of time , after which the privileged access expires automatically. This is the core just-in-time and time-limited access model that PIM is designed to provide. ( learn.microsoft.com )

The other options do not match Microsoft’s definition of PIM. It is not primarily described as providing restricted access to Microsoft 365 services , the lifecycle management of users , or the management of enterprise applications . Those areas relate more closely to other Microsoft Entra and Microsoft 365 governance capabilities. Microsoft specifically positions PIM as a service to manage, control, and monitor access to important resources by using eligible assignments , approval workflows , MFA if required , and temporary role activation . Therefore, the phrase that correctly completes the sentence is time-bound role activation . ( learn.microsoft.com )

The correct answer is A. Data access governance in the SharePoint admin center . Microsoft Learn documents Data access governance reports in the SharePoint admin center as the reporting solution used to understand data exposure, including permission structure and sharing link activity . Microsoft specifically states that the site permissions snapshot report provides visibility across SharePoint and OneDrive sites , helping administrators understand current permissions exposure, and that separate reports are created for SharePoint and OneDrive . Microsoft also documents sharing links activity reports as part of Data access governance for monitoring link-sharing activity, and notes that OneDrive support is available through PowerShell for those reports. Together, this is the Microsoft reporting capability aligned with permissions and active sharing links for OneDrive content.

The other options do not fit this requirement. Microsoft 365 admin center reports focus mainly on usage and activity reporting, not detailed permissions and sharing-link governance. Defender Audit is for security investigation activity, and Purview eDiscovery is for legal and investigative content search, not for generating OneDrive permissions and sharing-link governance reports. Therefore, the best Microsoft-documented answer is Data access governance in the SharePoint admin center .