Is it okay to use my German Schengen visa to enter Austria for study until residence permit is issued?
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The first trip with a multiple entry visa should be for the purpose from the application. The following trips can have other purposes. There will be no problem if you visit Austria now and look at a city where you might want to study.
As I understand it, you cannot apply for the residence permit while you are in Austria. You have already applied and the decision is pending, and I don't know if they just check your residence at the time of application. For details on that, better ask on Expatriates Stack Exchange.
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