HashiCorp Terraform-Associate-004 Exam (page: 6)
HashiCorp Certified: Terraform Associate (004)
Updated on: 12-Feb-2026

You can develop a custom provider to manage its resources using Terraform.

  1. True
  2. False

Answer(s): A

Explanation:

You can develop a custom provider to manage its resources using Terraform, as Terraform is an extensible tool that allows you to write your own plugins in Go language. You can also publish your custom provider to the Terraform Registry or use it privately.



What is one disadvantage of using dynamic blocks in Terraform?

  1. Dynamic blocks can construct repeatable nested blocks
  2. Terraform will run more slowly
  3. They cannot be used to loop through a list of values
  4. They make configuration harder to read and understand

Answer(s): D

Explanation:

This is one disadvantage of using dynamic blocks in Terraform, as they can introduce complexity and reduce readability of the configuration. The other options are either advantages or incorrect statements.



Which backend does the Terraform CLI use by default?

  1. Depends on the cloud provider configured
  2. HTTP
  3. Remote
  4. Terraform Cloud
  5. Local

Answer(s): E

Explanation:

This is the backend that the Terraform CLI uses by default, unless you specify a different backend in your configuration. The local backend stores the state file in a local file named terraform.tfstate,

which can be used to track and manage the state of your infrastructure.



How does Terraform manage most dependencies between resources?

  1. Terraform will automatically manage most resource dependencies
  2. Using the depends_on parameter
  3. By defining dependencies as modules and including them in a particular order
  4. The order that resources appear in Terraform configuration indicates dependencies

Answer(s): A

Explanation:

This is how Terraform manages most dependencies between resources, by using the references between them in the configuration files. For example, if resource A depends on resource B, Terraform will create resource B first and then pass its attributes to resource A.



You have declared a variable called var.list which is a list of objects that all have an attribute id .
Which options will produce a list of the IDs? Choose two correct answers.

  1. [ var.list [ * ] , id ]
  2. [ for o in var.list : o.Id ]
  3. var.list[*].id
  4. { for o in var.llst : o => o.id }

Answer(s): B,C

Explanation:

These are two ways to produce a list of the IDs from a list of objects that have an attribute id, using either a for expression or a splat expression syntax.



It is best practice to store secret data in the same version control repository as your Terraform configuration.

  1. True
  2. False

Answer(s): B

Explanation:

It is not a best practice to store secret data in the same version control repository as your Terraform configuration, as it could expose your sensitive information to unauthorized parties or compromise your security. You should use environment variables, vaults, or other mechanisms to store and provide secret data to Terraform.



_______backends support state locking.

  1. All
  2. No
  3. Some
  4. Only local

Answer(s): C

Explanation:

Some backends support state locking, which prevents other users from modifying the state file while a Terraform operation is in progress. This prevents conflicts and data loss. Not all backends support this feature, and you can check the documentation for each backend type to see if it does.



You want to define a single input variable to capture configuration values for a server. The values must represent memory as a number, and the server name as a string.

Which variable type could you use for this input?

  1. List
  2. Object
  3. Map
  4. Terraform does not support complex input variables of different types

Answer(s): B

Explanation:

This is the variable type that you could use for this input, as it can store multiple attributes of different types within a single value. The other options are either invalid or incorrect for this use case.



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