@optimized Yes the sitemap is dynamically created upon request and is automatically updated with new pages. You can control what content types are included in the sitemap in the settings located in the SEO>Search Appearance area. To customize what types of pages or content are included in the sitemap you would need to perform the following steps:
Login to WordPress
Go to SEO>Search Appearance
Click on the appropriate tab to add or remove certain post types from the search results. Removing a post type from the search results will also remove them from the sitemap.
Click ‘Save Changes.’
We also have additional information on configuring your XML Sitemap located at the following link: https://kb.yoast.com/kb/how-to-customize-the-sitemap-index/
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Thanks for understanding!