MB-920 Practice Test 2 — 10 Questions

Question 1

Which TWO are benefits of using warehouse management in Dynamics 365 Supply Chain Management?

Accepted Answer

Defining location directives for putaway. Location directives in Dynamics 365 Supply Chain Management (SCM) automatically guide the system to the optimal storage location for putaway, ensuring efficient warehouse space utilization and inventory accuracy. Option C is correct because wave management groups picking work into waves, allowing the system to optimize picking sequences and resource allocation, which reduces travel time and increases throughput.

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Managing financial budgets

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Generating purchase orders automatically

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Tracking production order status

Question 2

A project manager is using Dynamics 365 Project Operations to estimate project costs. The project involves a mix of in-house employees and external contractors. The company wants to use standard cost prices for employees and purchase prices for contractors. Which entity should the project manager use to set up these prices?

Accepted Answer

Project price list. The project manager should use the Project price list (Option D) because it is specifically designed to define cost and sales prices for resources in a project context. In Dynamics 365 Project Operations, the Project price list allows you to set standard cost prices for employees and purchase prices for contractors, as it supports role-based pricing and can differentiate between internal and external resource costs based on the price list setup.

Answer

Product catalog

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Role price list

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Resource price list

Question 3

Which THREE components are part of the advanced warehouse management setup in Dynamics 365 Supply Chain Management?

Accepted Answer

Location directives. Options A, B, and D are correct. Location directives determine pick/put locations, location profiles define location characteristics, and work templates define work types and processes. Option C (BOM versions) is incorrect because BOM versions are used for product structure and manufacturing, not warehouse management. Option E (Costing methods) is incorrect because costing methods are for inventory valuation and accounting.

Answer

BOM versions

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Costing methods

Question 4

Refer to the exhibit. A configuration snippet from Dynamics 365 Finance and Operations defines a workflow. What does this workflow do?

Accepted Answer

Require manager approval for purchase orders over $10,000. The workflow configuration in Dynamics 365 Finance and Operations defines a conditional approval step: when a purchase order exceeds $10,000, it is routed to the user's manager for approval. This is a standard workflow condition that triggers a specific approval step based on a monetary threshold, ensuring that high-value orders receive managerial oversight before proceeding.

Answer

Reject purchase orders over $10,000

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Automatically approve all purchase orders under $10,000

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Send all purchase orders to the VP for approval

Question 5

A company uses Dynamics 365 Project Operations. They need to track time and expenses for project resources and bill clients accordingly. Which core capability should they use?

Accepted Answer

Time and expense management. Time and expense management is the core capability in Dynamics 365 Project Operations that enables project resources to log their hours and incurred costs. This data is then used to drive accurate client billing, as the system can automatically calculate billable amounts based on recorded time and expenses against the project.

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Invoicing

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Resource scheduling

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Project budgeting

Question 6

Which TWO benefits does the Asset management module in Dynamics 365 Supply Chain Management provide?

Accepted Answer

Preventive maintenance scheduling. Options C and E are correct. Preventive maintenance scheduling (C) allows organizations to plan and perform maintenance based on time or usage intervals, reducing unplanned downtime. Maintenance history tracking (E) provides a complete record of all maintenance activities, costs, and parts used, enabling better asset lifecycle management. Option A is incorrect because automated warranty claims processing is not a feature of the Asset management module; warranty management is handled elsewhere. Option B is incorrect because vendor performance analysis is part of Procurement or Vendor management, not Asset management. Option D is incorrect because demand forecasting is part of Master planning or Demand forecasting modules.

Answer

Automated warranty claims processing

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Vendor performance analysis

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Demand forecasting

Question 7

A manufacturing company uses Dynamics 365 Supply Chain Management. The production manager reports that the system is not automatically reserving raw materials when a production order is released. What is the most likely cause?

Accepted Answer

The reservation hierarchy is not configured for production. The reservation hierarchy in Dynamics 365 Supply Chain Management determines whether raw materials are automatically reserved when a production order is released. If the hierarchy is not configured for production (e.g., set to 'None' or only for sales orders), the system will not perform automatic reservation, leaving materials unreserved. This is a common setup issue that directly controls the reservation behavior at order release.

Answer

The default order settings for the item are incorrect

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The bom version is not approved

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The explosion date on the production order is set to a future date

Question 8

A manufacturing company uses Dynamics 365 Finance and Operations. They want to automatically post a purchase order once it is approved by a manager. What feature should they configure?

Accepted Answer

Workflow. Workflow in Dynamics 365 Finance and Operations is the correct feature because it allows you to define a business process that automatically triggers an action—such as posting a purchase order—once a specific condition (e.g., manager approval) is met. Workflows can be configured to run without manual intervention, enabling the automatic posting of the purchase order immediately after the approval step completes.

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Electronic reporting

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Batch job

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Budget control

Question 9

Which TWO features are included in Dynamics 365 Commerce to enhance the customer experience?

Accepted Answer

Personalized offers. Personalized offers (B) are correct because Dynamics 365 Commerce uses AI-driven customer insights and segmentation to deliver tailored discounts and promotions in real time, directly enhancing the shopping experience. Product recommendations (C) are correct because the system leverages machine learning algorithms to analyze browsing and purchase history, suggesting relevant items to increase cross-sell and upsell opportunities.

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Vendor collaboration

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Inventory visibility

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Demand forecasting

Question 10

A distribution company uses Dynamics 365 Supply Chain Management. They want to improve picking efficiency in the warehouse by grouping multiple orders into a single pick run. Which warehouse process should they configure?

Accepted Answer

Wave processing. Wave processing in Dynamics 365 Supply Chain Management is the correct warehouse process for grouping multiple orders into a single pick run. It allows you to create waves that consolidate multiple sales orders or transfer orders based on criteria such as warehouse, shipping method, or inventory availability, and then release them together for efficient picking.

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Batch balancing

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Inbound shipment management

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Load planning