This post is a part of the PL-300: Microsoft Power BI Data Analyst Exam Prep Hub; and this topic falls under these sections:
Prepare the data (25–30%)
   --> Get or connect to data
      --> Create and modify parameters

Below are 10 practice questions (with answers and explanations) for this topic of the exam.
There are also 2 practice tests for the PL-300 exam with 60 questions each (with answers) available on the hub.

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Practice Questions

Question 1

What is the primary purpose of using parameters in Power Query?

A. To improve visual rendering performance
B. To store calculated DAX expressions
C. To replace hard-coded values with reusable variables
D. To control report-level security

✅ Correct Answer: C

Explanation:
Parameters allow you to define reusable values that replace hard-coded inputs such as server names, file paths, or filter values.

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Question 2

Which scenario is the best use case for Power Query parameters?

A. Creating dynamic slicers for end users
B. Switching between development and production databases
C. Defining relationships between tables
D. Creating calculated measures

✅ Correct Answer: B

Explanation:
Parameters are commonly used to manage environment-specific values like server and database names.

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Question 3

Where are parameters created and managed in Power BI Desktop?

A. Report view
B. Model view
C. DAX editor
D. Power Query Editor

✅ Correct Answer: D

Explanation:
Parameters are created and modified in the Power Query Editor under Manage Parameters.

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Question 4

Which data types can be assigned to a Power Query parameter?

A. Text only
B. Numeric only
C. Any DAX-supported data type
D. Text, Number, Date, DateTime, and Boolean

✅ Correct Answer: D

Explanation:
Power Query parameters support multiple data types, including text, numeric, and date-based types.

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Question 5

What happens when you change the current value of a parameter that is used in a query?

A. The report visuals automatically change without refresh
B. Only the parameter value updates, not the data
C. The dependent queries are refreshed using the new value
D. The parameter is deleted and recreated

✅ Correct Answer: C

Explanation:
Changing a parameter’s current value causes any dependent queries to refresh using the updated value.

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Question 6

Which option helps restrict users to predefined parameter values?

A. Required
B. Suggested values
C. Parameter type
D. Query folding

✅ Correct Answer: B

Explanation:
Suggested values allow you to define a list or range of acceptable parameter inputs.

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Question 7

A Power BI dataset uses a parameter to define a file path. The file location changes. What is the most efficient way to update the dataset?

A. Rewrite the M code
B. Replace the query entirely
C. Update the parameter value
D. Create a calculated column

✅ Correct Answer: C

Explanation:
Updating the parameter value avoids editing query logic and ensures all dependent queries update automatically.

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Question 8

Which statement about Power Query parameters is true?

A. Parameters can only be used for filtering rows
B. Parameters must be created using M code
C. Parameters appear as queries in Power Query
D. Parameters are only supported in Import mode

✅ Correct Answer: C

Explanation:
Parameters appear as special queries in Power Query and can be referenced by other queries.

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Question 9

A parameter is used to filter data in a query. What happens if the parameter’s value does not match the expected data type?

A. Power BI automatically converts the value
B. The report loads with blank visuals
C. The query refresh may fail
D. The parameter is ignored

✅ Correct Answer: C

Explanation:
A mismatch between parameter type and usage can cause query errors during refresh.

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Question 10

How are parameters most commonly tested on the PL-300 exam?

A. Memorizing the M syntax used to create them
B. Identifying UI navigation steps
C. Selecting the correct scenario where parameters improve flexibility
D. Writing custom functions

✅ Correct Answer: C

Explanation:
The exam focuses on when and why to use parameters rather than detailed syntax or UI steps.

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Exam Readiness Summary ✅

You are well prepared for this topic if you can:

• Explain why parameters are used
• Identify environment and filtering scenarios
• Understand how parameter changes affect refresh
• Recognize parameters as a Power Query feature, not DAX

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