Microsoft Azure AI Engineer Associate AI-102 Practice Question

Azure Developer CLI (azd) looks for a file named azure.yaml at the project root. The azure.yaml manifest contains services and resources nodes that declaratively list every Azure resource the project needs (such as an AI Foundry hub, Storage, Key Vault, and Application Insights). When you run azd up or azd provision, the CLI reads azure.yaml and generates/executes the underlying Bicep or ARM templates to provision all listed resources in the chosen resource group. Other YAML files-such as environment.yml (Python package environment) or flow.dag.yaml (prompt-flow definition)-configure runtime components but do not drive initial infrastructure deployment, and there is no supported foundry.yaml file in the Azure AI Foundry toolchain.