MB-920 Practice Test 14 — 15 Questions

Question 1

A company uses Dynamics 365 Supply Chain Management with demand-driven material requirements planning (DDMRP). They notice that the system is not generating replenishment orders for certain items even though the stock is below the reorder point. What could be the issue?

Choose an answer to begin — your selection is scored in the full session.

Accepted Answer

The item's planning frequency is not set in the buffer profile.. In DDMRP, the planning frequency must be configured on the buffer profile for each item. If the planning frequency is not set, the system will not generate replenishment orders even if stock falls below the reorder point. Option A is incorrect because regenerative mode is not required for DDMRP; DDMRP typically uses net-change planning. Option B is incorrect because 'dynamic planning' is not a concept in DDMRP; the issue is related to buffer profile configuration. Option D is incorrect because coverage groups are used for traditional master planning, but DDMRP does not rely on coverage groups; it uses buffer profiles and demand-driven planning.

Answer

Master planning is not set to regenerative mode.

Answer

The item is excluded from dynamic planning.

Answer

The item's coverage group is not assigned to a master plan.

Question 2

Northwind Traders operates a chain of grocery stores using Dynamics 365 Commerce. They recently implemented a new loyalty program where customers earn 1 point for every $1 spent, and 100 points can be redeemed for a $5 discount. The program is set up correctly in the headquarters. However, when a customer makes a purchase at a store, the POS does not display the loyalty points earned. The store manager confirms that the customer's loyalty card is linked to the customer account. The IT team verifies that the loyalty program is published to the channel. What is the most likely cause of the issue?

Accepted Answer

The POS screen layout does not include the loyalty points field.. The POS screen layout controls which fields are visible to the cashier. Even if the loyalty program is correctly configured in Headquarters and published to the channel, the POS will not display loyalty points earned unless the screen layout includes the specific loyalty points field. The store manager confirmed the loyalty card is linked, and the IT team verified the program is published, so the missing field in the screen layout is the most likely cause.

Answer

The 'Process loyalty points' job is not scheduled.

Answer

The customer's loyalty card is not properly linked to the customer account.

Answer

The loyalty program is not published to the store's channel database.

Question 3

You are the Dynamics 365 Project Operations administrator for Contoso Ltd., a consulting firm with 200 employees. The company uses Project Operations for time and expense tracking, project planning, and resource management. Recently, project managers have reported that when they attempt to assign resources to projects, the system shows 'No available resources' even though resources are free according to their calendars. Resource managers confirm that resources are not booked on other projects. The system uses the 'Centralized Resource Management' approach. Resources are organized by skill and role. The booking method is 'Full Capacity' with a working day of 8 hours. You suspect an issue with resource scheduling parameters. After reviewing the setup, you find that the 'Resource Scheduling' parameter 'Consider Resource Capacity' is set to 'Yes', and the 'Working Hours' template is correct. What should you check next to resolve the issue?

Accepted Answer

Ensure that resource calendars are published and reflect current availability.. The 'Consider Resource Capacity' parameter and working hours template are already verified as correct. The next logical step is to ensure that resource calendars are published and reflect current availability. In Dynamics 365 Project Operations, even if a resource has free time on their calendar, the system will not consider that capacity for assignment unless the calendar is published and synchronized with the scheduling engine. Unpublished or outdated calendars can cause the 'No available resources' error despite apparent free time.

Answer

Review the 'Resource Smoothing' configuration in the project schedule.

Answer

Check the delegation and approval settings for resource requests.

Answer

Verify that the resource skills are correctly mapped to project requirements.

Question 4

Which TWO features in Dynamics 365 Finance help ensure compliance with regulatory reporting requirements?

Accepted Answer

Electronic reporting (ER) tool. Options B and D are correct. Electronic reporting (ER) is a tool that enables configuring formats for regulatory and tax documents, ensuring compliance with reporting requirements. Tax reporting features in Dynamics 365 Finance handle specific tax compliance calculations and submissions. Option A is incorrect because budget control is about managing spending limits, not regulatory reporting. Option C is incorrect because fixed asset management tracks asset lifecycle but does not generate regulatory reports. Option E is incorrect because vendor collaboration is for communication with vendors, not regulatory compliance.

Answer

Budget control

Answer

Fixed asset management

Answer

Vendor collaboration

Question 5

A company uses Dynamics 365 Commerce to manage its online and brick-and-mortar stores. They need to configure a promotion that offers a 10% discount on all products in the 'Home & Garden' category when customers purchase at least three items from that category. Which TWO components must be configured to implement this promotion?

Accepted Answer

Create a discount in the Commerce pricing engine. The Commerce pricing engine is the core component for creating and managing discounts in Dynamics 365 Commerce. It allows you to define discount rules, including percentage-off promotions, and apply them to specific products or categories. Without configuring a discount in the pricing engine, the promotion cannot be applied at checkout.

Answer

Configure a loyalty program to trigger the discount

Answer

Define an assortment for the promotion period

Answer

Configure price groups for the promotion

Question 6

A multinational corporation uses Dynamics 365 Finance and Operations with multiple legal entities. The finance team needs to generate a consolidated financial statement that eliminates intercompany transactions automatically. Which feature should they use?

Accepted Answer

Consolidation. Consolidation in Dynamics 365 Finance and Operations is specifically designed to combine financial data from multiple legal entities into a single set of consolidated financial statements. It includes built-in functionality to automatically eliminate intercompany transactions and balances, ensuring that the consolidated report reflects only external financial activity. This directly meets the requirement for generating a consolidated financial statement with automatic intercompany elimination.

Answer

Intercompany accounting

Answer

Budget planning

Answer

Financial reporting

Question 7

Refer to the exhibit. A production order in Dynamics 365 Supply Chain Management has Reservation set to 'Manual'. What does this mean for material availability?

Accepted Answer

Materials must be manually reserved by the user. When the Reservation field on a production order is set to 'Manual', materials are not automatically reserved or consumed. Instead, the user must explicitly reserve materials (e.g., via the production order's 'Reserve' action) before or during production. This ensures that material availability is controlled manually, preventing automatic allocation from inventory.

Answer

Materials are automatically reserved when the order is released

Answer

Materials are automatically consumed during production

Answer

Materials are reserved based on the BOM explosion date

Question 8

An organization using Dynamics 365 Finance needs to streamline vendor payments by grouping multiple invoices into a single payment. Which feature should they use?

Accepted Answer

Payment proposal. Payment proposals allow users to select multiple invoices for a vendor and generate a single payment. Option A is wrong because electronic payment format is for generating payment files, not for grouping invoices. Option B is wrong because payment schedules spread a single invoice into installments. Option C is wrong because positive pay is a fraud prevention feature.

Answer

Electronic payment format

Answer

Payment schedule

Answer

Positive pay

Question 9

Refer to the exhibit. An administrator is reviewing an inventory value report configuration in Dynamics 365 Supply Chain Management. The report shows total quantities and costs for items that are not closed. A user complains that the report does not include items from site 2. What is the most likely cause?

Accepted Answer

The report is filtered to site 1 only.. The most likely cause is that the report is filtered to site 1 only, as indicated by the exhibit showing a filter on SiteId = 1. This restricts the report to items from site 1, excluding site 2. Option A is incorrect because the report uses InventSum, not InventTrans, but that is not the reason for missing site 2 items. Option C is incorrect because financial dimensions are not relevant to the site filter. Option D is incorrect because the report includes items that are not closed (Closed = 0), so that does not exclude site 2 items; the site filter is the issue.

Answer

The report uses InventTrans instead of InventSum.

Answer

The report does not include financial dimensions.

Answer

The report excludes closed inventory transactions.

Question 10

Contoso Ltd. is a global manufacturing company with legal entities in the US (USD), UK (GBP), and Germany (EUR). They use Dynamics 365 Finance. The CFO wants a consolidated financial report that combines data from all entities into USD, using month-end exchange rates. The consolidation must be performed monthly, and adjustments should be automatically eliminated. The company also needs to maintain separate accounting rules for each entity (e.g., GAAP vs. IFRS). You are tasked with configuring the consolidation process. What should you do?

Accepted Answer

Set up a consolidation group, define exchange rates, configure elimination rules, and run the consolidation process online.. The consolidation module in Dynamics 365 Finance enables you to set up a consolidation group containing the relevant legal entities, define exchange rates (e.g., month-end rates), configure elimination rules to automatically remove intercompany transactions, and run the consolidation process online. This automates the monthly consolidation into USD while respecting each entity's accounting rules (GAAP/IFRS). Option A is incorrect because intercompany accounting handles transactions between entities, not the consolidated reporting of separate entities. Option B is incorrect because manually exporting/importing trial balances to Excel is error-prone and does not automate the process. Option C is incorrect because a general journal is for manual adjustments, not for running an automated consolidation that includes currency conversion and eliminations.

Answer

Configure intercompany accounting and use the intercompany reconciliation report.

Answer

Export each entity's trial balance to Excel, apply exchange rates, and import to a consolidated company.

Answer

Create a general journal to manually post consolidated entries using exchange rates.

Question 11

A company using Dynamics 365 Finance and Operations wants to improve their accounts receivable process. They need to automatically send payment reminders to customers with overdue invoices and apply late payment penalties. What should they configure?

Accepted Answer

Collections management. Collections management in Dynamics 365 Finance and Operations is the dedicated module for automating the accounts receivable process, including sending payment reminders and applying late payment penalties. It provides configurable aging snapshots, collection agents, and automated workflows to trigger reminders and penalty calculations based on overdue invoice criteria.

Answer

Cash and bank management

Answer

Accounts receivable

Answer

Credit and collections

Question 12

A company uses Dynamics 365 Supply Chain Management with demand-driven material requirements planning (DDMRP). They notice that the system is not generating replenishment orders for certain items even though the stock is below the reorder point. What could be the issue?

Choose an answer to begin — your selection is scored in the full session.

Accepted Answer

Purchase price update. 'Purchase price update' (part of Procurement and Sourcing) automatically updates purchase order prices when vendor prices change. Option A is wrong because 'Vendor rebate' is for discounts, not price updates. Option C is wrong because 'Purchase order approval workflow' is for authorization, not price synchronization. Option D is wrong because 'Trade agreement journal' records price agreements but does not automatically update existing purchase orders.

Answer

Vendor rebate

Answer

Purchase order approval workflow

Answer

Trade agreement journal

Question 13

You are a Dynamics 365 Finance consultant for a startup that needs to manage its financial operations. The company has a small accounting team and wants to automate bank reconciliation. They use multiple bank accounts and receive electronic bank statements in CSV format. Requirements: 1) Automatically import bank statements. 2) Match transactions automatically. 3) Use standard Dynamics 365 Finance features. Which configuration should you implement?

Accepted Answer

Configure a bank statement import source and define matching rules for automatic reconciliation.. Setting up bank statement import and automatic matching rules in the Cash and bank management module automates reconciliation. Option B is correct.

Answer

Create a data entity to import bank statements and use Excel to reconcile.

Answer

Use the 'Advanced bank reconciliation' feature with manual matching.

Answer

Enable the 'Bank reconciliation' workspace and manually enter statement lines.

Question 14

A company wants to optimize inventory levels by analyzing historical sales data and predicting future demand. Which module in Dynamics 365 Supply Chain Management should they use?

Accepted Answer

Demand forecasting. Demand forecasting in Dynamics 365 Supply Chain Management uses historical sales data and machine learning models to predict future demand, enabling optimized inventory levels. It integrates with the master planning module to generate replenishment suggestions, directly addressing the scenario's need to analyze past data and forecast demand.

Answer

Warehouse management

Answer

Production control

Answer

Transportation management

Question 15

A company uses Dynamics 365 Human Resources. They need to track employee training and certifications. Which module should they use?

Accepted Answer

Learning management. The Learning management module in Dynamics 365 Human Resources is specifically designed to track employee training, certifications, and skill development. It allows administrators to define courses, assign them to employees, record completion, and manage expiration dates for certifications, directly meeting the requirement.

Answer

Benefits management

Answer

Organization administration

Answer

Leave and absence