This is the free Microsoft AB-730 practice question bank —
50 of 81 total questions, each with a full explanation, free to
read with no signup required. Updated 2026-07-09.
Every answer is verified against official Microsoft documentation —
see our methodology.
Question 1
HOTSPOT
-
For each of the following statements, select Yes if the statement is true. Otherwise, select No.
NOTE: Each correct selection is worth one point.
Show Answer
Correct Answer: Yes
Yes
Yes
Explanation: Microsoft 365 Copilot can display sensitivity labels for referenced source files, can summarize accessible labeled SharePoint files subject to permissions/policies, and generated content inherits/apply sensitivity labeling based on labeled source content where supported.
Question 2
HOTSPOT
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You are evaluating the features of Microsoft 365 Copilot notebooks.
For each of the following statements, select Yes if the statement is true. Otherwise, select No.
NOTE: Each correct selection is worth one point.
Show Answer
Correct Answer: No
Yes
No
Explanation: Copilot notebooks do not create agents directly, they support generating an Audio Overview, and notebook references are user-managed rather than continually added automatically.
Question 3
You have an open Microsoft Word document that has a sensitivity label named Highly Confidential applied.
From Microsoft PowerPoint, you plan to use Microsoft 365 Copilot to generate a presentation of the Word document.
What will be the result?
A. Copilot will be unable to generate the presentation.
B. Copilot will generate the presentation and will prompt you for a label.
C. Copilot will generate the presentation and apply the Highly Confidential label.
D. Copilot will generate the presentation and will NOT apply a label.
Show Answer
Correct Answer: C
Explanation: When Microsoft 365 Copilot generates a PowerPoint presentation from a Word document, the generated file inherits the sensitivity label from the source document. Therefore, a Word document labeled 'Highly Confidential' results in a presentation with the same 'Highly Confidential' sensitivity label applied.
Question 4
You join an internal Microsoft Teams meeting late and want to catch up on what you missed. The meeting is being recorded.
You need to summarize the portion of the meeting that you missed as soon as possible.
What is the best approach to achieve the goal? More than one answer choice may achieve the goal. Select the BEST answer.
A. From the Teams app, ask Copilot in Teams to summarize what you missed so far.
B. From the meeting, read the transcript.
C. From the Microsoft 365 Copilot app, ask Copilot to tell you what you missed.
D. From the Teams app, view the intelligent recap.
Show Answer
Correct Answer: A
Explanation: Copilot in Teams can generate a live summary of the discussion that occurred before you joined, allowing you to catch up immediately during the ongoing recorded meeting. Reading the transcript is slower and manual, the Microsoft 365 Copilot app is not the primary in-meeting experience for this task, and Intelligent Recap is intended for after the meeting rather than immediate live catch-up.
Question 5
HOTSPOT
-
For each of the following statements, select Yes if the statement is true. Otherwise, select No.
NOTE: Each correct selection is worth one point.
Show Answer
Correct Answer: Yes
Yes
No
Explanation: Scheduled prompts can be web-grounded. Their maximum frequency is once per day, and they are not limited to only 15 total runs.
Question 6
HOTSPOT
-
For each of the following statements, select Yes if the statement is true. Otherwise, select No.
NOTE: Each correct selection is worth one point.
Show Answer
Correct Answer: No
No
Yes
Explanation: The desktop app is not limited to only the last 20 conversations, supports deleting conversations, and conversation history syncs across signed-in devices/browsers.
Question 7
HOTSPOT
-
You are creating an agent in the Microsoft 365 Copilot app.
For each of the following statements, select Yes if the statement is true. Otherwise, select No.
NOTE: Each correct selection is worth one point.
Show Answer
Correct Answer: No
Yes
No
Explanation: In the Microsoft 365 Copilot app's agent builder, you can create agents using natural language prompts. Shared mailboxes and other agents are not supported as knowledge sources in the app (those capabilities are associated with more advanced Copilot Studio scenarios).
Question 8
HOTSPOT
-
You have a Microsoft 365 Copilot conversation as shown in the following exhibit.
Use the drop-down menus to select the answer choice that completes the statement based on the information presented in the graphic.
Show Answer
Correct Answer: has a sensitivity label applied.
Explanation: The document is a supported .docx file and Copilot is able to reference it. The shield indicator in the interface is consistent with Microsoft Purview sensitivity labeling, making the best choice that the document has a sensitivity label applied.
Question 9
You ask Microsoft 365 Copilot to create a report based on information from the web.
You verify the response and discover that some information is fictional.
What is this an example of?
A. deepfake
B. fabrication
C. overreliance
D. prompt injection
E. bias
Show Answer
Correct Answer: B
Explanation: This is an example of fabrication (often called an AI hallucination), where the AI generates false or fictional information and presents it as if it were factual. It is not a deepfake, prompt injection, overreliance, or bias.
Question 10
HOTSPOT
-
For each of the following statements, select Yes if the statement is true. Otherwise, select No.
NOTE: Each correct selection is worth one point.
Show Answer
Correct Answer: Yes
Yes
No
Explanation: Analyst and Researcher agents can be invoked from an existing Microsoft 365 Copilot conversation, but only one agent is active at a time; multiple agents cannot chat concurrently in the same conversation.
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