MB-920 Practice Test 28 — 15 Questions

Question 1

A company uses Dynamics 365 Supply Chain Management. They are implementing demand-driven material requirements planning (DDMRP). Which TWO elements are part of the DDMRP methodology?

Accepted Answer

Decoupling points. DDMRP methodology decouples demand from supply using decoupling points and manages inventory with buffer levels and zones. Option B (Decoupling points) is correct because they are strategic locations where inventory buffers are placed to reduce dependencies. Option C (Buffer levels and zones) is correct because DDMRP uses colored zones (red, yellow, green) to manage replenishment. Option A (Lead time offsetting) is incorrect; in DDMRP, lead time impacts buffer sizing but is not a core element. Option D (Safety stock levels) is incorrect; safety stock is a traditional MRP concept, while DDMRP uses dynamically adjusted buffers. Option E (Reorder point calculation) is also traditional; DDMRP uses buffer status and zones instead of reorder points.

Answer

Lead time offsetting

Answer

Safety stock levels

Answer

Reorder point calculation

Question 2

A company uses Dynamics 365 Supply Chain Management and wants to use AI to optimize inventory levels by predicting stockouts and suggesting reorder quantities. Which Copilot feature should they use?

Accepted Answer

Copilot in Dynamics 365 Supply Chain Management. Copilot in Dynamics 365 Supply Chain Management includes AI-powered inventory forecasting that uses machine learning to predict stockouts and suggest reorder quantities. Option A is wrong because Copilot in Dynamics 365 Customer Service is designed for customer support scenarios, not inventory management. Option B is wrong because Copilot in Dynamics 365 Finance focuses on financial data and processes. Option C is wrong because Copilot in Dynamics 365 Sales is for sales-related activities.

Answer

Copilot in Dynamics 365 Customer Service

Answer

Copilot in Dynamics 365 Finance

Answer

Copilot in Dynamics 365 Sales

Question 3

Refer to the exhibit. A warehouse location is configured with LocationProfileId 'BULK' and MaxPalletWeight 1000. What is the primary purpose of this configuration?

Accepted Answer

To define physical constraints like weight capacity. The location profile defines the physical characteristics and constraints of a warehouse location, such as maximum weight capacity (MaxPalletWeight). Option A is wrong because location profiles do not specify warehouse zones; zones are defined separately. Option B is wrong because location profiles are not used for defining picking route sequences; those are determined by wave templates and work templates. Option D is wrong because while location profiles can influence item restrictions indirectly (e.g., through storage constraints), their primary purpose is to define physical attributes like weight and dimensions, not to directly restrict item types.

Answer

To specify the warehouse zone

Answer

To define the picking route sequence

Answer

To restrict the types of items stored

Question 4

A company uses Dynamics 365 Supply Chain Management. They are implementing demand-driven material requirements planning (DDMRP). Which TWO elements are part of the DDMRP methodology?

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

Accepted Answer

Master planning (MRP). Master planning (MRP) is appropriate because it considers both demand and supply to generate planned orders, ensuring raw materials are available without overstocking. Kanban is a pull-based system for repetitive manufacturing, not suitable for raw material planning. Demand forecasting is an input to planning, not a planning method itself. Reorder point planning only triggers replenishment when stock drops to a specific level, which may not account for future demand fluctuations.

Answer

Kanban

Answer

Demand forecasting

Answer

Reorder point planning

Question 5

A manufacturer uses Dynamics 365 Supply Chain Management's production control module. They want to record the actual labor hours spent on a production order. Which option should they use?

Accepted Answer

Production journals. Production journals allow recording of time and quantity. Option A (BOM versions) is wrong because they define product structure, not record labor. Option C (Route operations) is wrong because they define the steps, not record actuals. Option D (Resource groups) is wrong because they group resources, not record time.

Answer

BOM versions

Answer

Route operations

Answer

Resource groups

Question 6

A company uses Dynamics 365 Supply Chain Management to manage inventory. They want to use the Inventory turnover ratio to analyze how quickly inventory is sold. The finance team needs to see this ratio on a dashboard. You need to configure the system to calculate and display the inventory turnover ratio. You have the following options: A. Use the Inventory value report and calculate the ratio manually in Excel. B. Use the Power BI content pack for Dynamics 365 Supply Chain Management, which includes inventory turnover measures. C. Use the Inventory aging report to estimate turnover. D. Use the Warehouse Management module to track movements and calculate turnover. Which option should you choose?

Accepted Answer

Use the Power BI content pack for Dynamics 365 Supply Chain Management, which includes inventory turnover measures.. The Power BI content pack includes pre-built measures for inventory turnover. Option A is incorrect because it requires manual calculation. Option C is incorrect because the Inventory aging report is for analyzing the age of inventory, not turnover rate. Option D is incorrect because the Warehouse Management module is focused on warehouse operations, not financial analytics.

Answer

Use the Inventory value report and calculate the ratio manually in Excel.

Answer

Use the Inventory aging report to estimate turnover.

Answer

Use the Warehouse Management module to track movements and calculate turnover.

Question 7

A manufacturer uses Dynamics 365 Supply Chain Management and wants to improve demand forecasting accuracy by incorporating external data such as weather and economic indicators. Which module should they use?

Accepted Answer

Demand forecasting. Demand forecasting in Dynamics 365 Supply Chain Management is designed to integrate with external data sources like weather and economic indicators to improve forecast accuracy. Option A is wrong because Master planning focuses on production and procurement scheduling, not forecasting. Option B is wrong because Product information management handles product master data. Option C is wrong because Inventory management manages stock levels and transactions.

Answer

Master planning

Answer

Product information management

Answer

Inventory management

Question 8

A distribution company uses Dynamics 365 Supply Chain Management. They want to use AI to predict customer demand and automatically suggest purchase orders. Which feature should they enable?

Accepted Answer

Demand Forecasting feature. The Demand Forecasting feature uses machine learning to predict customer demand and can automatically suggest purchase orders for replenishment. Option A is wrong because the Warehouse management module deals with warehouse operations, not demand prediction. Option B is wrong because the Planning Optimization add-in improves master planning performance but does not provide AI-based demand prediction. Option C is wrong because the Inventory Visibility add-in provides near real-time inventory visibility, not demand prediction.

Answer

Warehouse management module

Answer

Planning Optimization add-in

Answer

Inventory Visibility add-in

Question 9

A company uses Dynamics 365 Supply Chain Management to manage quality inspections. They want to automatically generate quality orders for specific products upon receipt. What should they configure?

Accepted Answer

Quality associations. Quality associations define the rules for automatically generating quality orders, such as upon receipt of specific products. Option A is incorrect because Nonconformance tracking is used to manage quality issues after they occur, not to generate orders automatically. Option B is incorrect because Test instruments are tools used during inspections, not triggers for order creation. Option D is incorrect because Quality groups are used to group items for sampling plans, not to define auto-generation rules.

Answer

Nonconformance tracking

Answer

Test instruments

Answer

Quality groups

Question 10

A warehouse manager configures a location profile as shown. A mobile device user attempts to put away a pallet of item A into location BULK-001. The system rejects the putaway. What is the most likely reason?

Accepted Answer

The reservation hierarchy does not allow putaway to a bulk location.. The reservation hierarchy is set to a level that does not allow putaway into a bulk location. In Dynamics 365 Supply Chain Management, location profiles control how inventory is stored and moved. If the reservation hierarchy is configured at a level higher than location (e.g., Site or Warehouse), a bulk location may not accept putaway unless it is specifically configured to allow it. Option A is incorrect because the location type 'Bulk' is valid for putaway; bulk locations are commonly used for storage. Option B is incorrect because a default location is not required for putaway; the system uses the location profile settings. Option D is incorrect because if the warehouse management process were disabled, the system would not allow any warehouse transactions at all, not just putaway rejections.

Answer

The location type 'Bulk' is not valid for putaway.

Answer

The default location is not set to BULK-001.

Answer

The warehouse management process is disabled.

Question 11

A global manufacturer uses Dynamics 365 Supply Chain Management. They need to configure a product that is manufactured in multiple variants based on size and color, with each variant having its own bill of materials (BOM). Which product configuration approach should they use?

Accepted Answer

Product master with predefined variants. A product master with predefined variants allows each variant to have its own bill of materials (BOM), which is exactly what is needed for products manufactured in multiple variants based on size and color. Option B is incorrect because a single product with multiple BOM versions is used for different production dates or processes, not for managing different product variants. Option C is incorrect because constraint-based configuration is intended for highly configurable products with many options and rules, not for simple predefined variants. Option D is incorrect because catch weight products are used for items that are measured by weight, not for variant configuration.

Answer

Single product with multiple BOM versions

Answer

Product master with constraint-based configuration

Answer

Catch weight product

Question 12

A company uses Dynamics 365 Supply Chain Management. They are implementing demand-driven material requirements planning (DDMRP). Which TWO elements are part of the DDMRP methodology?

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

Accepted Answer

Procurement and sourcing. Procurement and sourcing manages supplier information, requests for quotations, and vendor comparisons. Option A (Production control) is for manufacturing. Option B (Sales and marketing) is for selling. Option C (Inventory management) focuses on stock, not procurement. Option D (Procurement and sourcing) is the correct module for managing raw material procurement and supplier comparison.

Answer

Production control

Answer

Sales and marketing

Answer

Inventory management

Question 13

A company uses Dynamics 365 Supply Chain Management. They are implementing demand-driven material requirements planning (DDMRP). Which TWO elements are part of the DDMRP methodology?

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

Accepted Answer

Warehouse Management. The Warehouse Management module in Dynamics 365 Supply Chain Management provides guided step-by-step processes for mobile device users, including the mobile device portal that directs warehouse workers through picking tasks. Option A (Transport Management) is incorrect because it focuses on freight and shipping logistics, not warehouse picking. Option C (Inventory Management) is incorrect because it deals with stock quantities and transactions, not guided picking. Option D (Production Control) is incorrect because it manages manufacturing orders and execution, not warehouse picking.

Answer

Transport Management

Answer

Inventory Management

Answer

Production Control

Question 14

Refer to the exhibit. A purchase order is confirmed but the lines are still open. What does this indicate?

Accepted Answer

The purchase order is approved but not yet received. Confirmed means the purchase order is approved. Open lines indicate that no receipt has been posted yet, so the order is approved but not yet received. Therefore, option A is correct. Option B is incorrect because the order is already confirmed (approved). Option C is incorrect because open lines mean the order is not yet invoiced. Option D is incorrect because open lines mean the order is not fully received.

Answer

The purchase order is pending approval

Answer

The purchase order is fully invoiced

Answer

The purchase order is fully received

Question 15

A company uses Dynamics 365 Supply Chain Management to manage its supply chain. They need to track the carbon footprint of each product throughout its lifecycle. Which capability should they use?

Accepted Answer

Sustainability module. The Sustainability module in Dynamics 365 Supply Chain Management provides carbon footprint tracking. Option A is wrong because Asset management tracks equipment, not product carbon footprint. Option B is wrong because Quality management ensures product quality, not environmental impact. Option C is wrong because Product compliance focuses on regulatory compliance, not carbon footprint.

Answer

Asset management

Answer

Quality management

Answer

Product compliance