When creating an assessment, you can create a File Upload question in the Quizzes LTI. You can limit the number of files and the file extensions that can be uploaded by students.
Add Question Title and Stem
In the Question Title field , add a question title. Question titles are optional and are not visible to students.
In the Question Stem field , add the question stem. The question stem contains the question and, if necessary, additional instructions and information.
Limit File Uploads
To limit the number of file uploads allowed for students, click the Limit File number checkbox . Then type the file number in the Number field  or use the arrows to increase or decrease the value .
Note: If the Limit File number option is not selected, students are allowed unlimited uploads to a question.
Restrict File Types
To restrict the file types that can be uploaded by students, click the Restrict File Types checkbox . Then enter the file extensions separated by commas in the File Types field .
Align to Outcome
To align the question to an outcome, click anywhere in the Align to Outcomes section.
Add to Item Bank
To add the question to an item bank, click the Add to Bank link.
Note: After a question has been added to an item bank, it can only be edited in the item bank. You can still set unique point values and options in the assessment for an item bank question.
Add Point Value and Feedback
To customize the point value for the question, type the point value in the Points field  or use the arrows to increase or decrease the point value .
To leave feedback for students, click the Feedback icon .