diff --git a/src/init/starship.ps1 b/src/init/starship.ps1
index 87cef7c6b..558d9c5ca 100644
--- a/src/init/starship.ps1
+++ b/src/init/starship.ps1
@@ -3,24 +3,54 @@
 # Starship assumes UTF-8
 [Console]::OutputEncoding = [System.Text.Encoding]::UTF8
 function global:prompt {
+    $origDollarQuestion = $global:?
+    $origLastExitCode = $global:LASTEXITCODE
+
     $out = $null
     # @ makes sure the result is an array even if single or no values are returned
     $jobs = @(Get-Job | Where-Object { $_.State -eq 'Running' }).Count
 
     $env:PWD = $PWD
     $current_directory = (Convert-Path -LiteralPath $PWD)
+    
+    # If an external command has not been executed, then the $LASTEXITCODE will be $null.
+    # For the purposes of the prompt, replace this with a 0 exit code so that the prompt
+    # doesn't show the last command as a failure (because it had a non-zero exit code).
+    $lastExitCodeForPrompt = if ($origLastExitCode) { $origLastExitCode } else { 0 }
 
     if ($lastCmd = Get-History -Count 1) {
         $duration = [math]::Round(($lastCmd.EndExecutionTime - $lastCmd.StartExecutionTime).TotalMilliseconds)
         # & ensures the path is interpreted as something to execute
-        $out = @(&::STARSHIP:: prompt "--path=$current_directory" --status=$lastexitcode --jobs=$jobs --cmd-duration=$duration)
+        $out = @(&::STARSHIP:: prompt "--path=$current_directory" --status=$lastExitCodeForPrompt --jobs=$jobs --cmd-duration=$duration)
     } else {
-        $out = @(&::STARSHIP:: prompt "--path=$current_directory" --status=$lastexitcode --jobs=$jobs)
+        $out = @(&::STARSHIP:: prompt "--path=$current_directory" --status=$lastExitCodeForPrompt --jobs=$jobs)
     }
 
     # Convert stdout (array of lines) to expected return type string
     # `n is an escaped newline
     $out -join "`n"
+
+    # Propagate the original $LASTEXITCODE from before the prompt function was invoked.
+    $global:LASTEXITCODE = $origLastExitCode
+
+    # Propagate the original $? automatic variable value from before the prompt function was invoked.
+    #
+    # $? is a read-only or constant variable so we can't directly override it.
+    # In order to propagate up its original boolean value we will take an action
+    # which will produce the desired value.
+    #
+    # This has to be the very last thing that happens in the prompt function
+    # since every PowerShell command sets the $? variable.
+    if ($global:? -ne $origDollarQuestion) {
+        if ($origDollarQuestion) {
+             # Simple command which will execute successfully and set $? = True without any other side affects.
+            1+1
+        } else {
+            # Write-Error will set $? to False.
+            # ErrorAction Ignore will prevent the error from being added to the $Error collection.
+            Write-Error '' -ErrorAction 'Ignore'
+        }
+    }
 }
 
 $ENV:STARSHIP_SHELL = "powershell"