MB-920 Practice Test 29 — 15 Questions

Question 1

A company uses Dynamics 365 Supply Chain Management with warehouse management. They want to improve picking accuracy by requiring workers to scan each item's barcode and the location barcode during picking. Which TWO configurations are necessary?

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

Accepted Answer

Set the 'License plate required' option on the location directive. To enforce barcode scanning during picking, two configurations are needed: (1) On the mobile device menu item for the picking process, set the 'Scan by' field to 'Item' – this forces the worker to scan the item barcode before confirming the pick. (2) On the location directive used for picking, set the 'License plate required' option to 'Yes' – this forces the worker to scan the location barcode (license plate) when picking from a license plate–controlled location. Option A (work template line per item) is about how work lines are generated, not scanning. Option B (product filter) restricts items available, but does not enforce scanning. Option E is incorrectly phrased; 'Scan by' is set at the mobile device menu item level, not at the location directive.

Answer

Create a work template with a line for each item

Answer

Configure a product filter to restrict items

Answer

Enable 'Scan by' on the mobile device menu item to 'Location'

Question 2

A manufacturing company uses Dynamics 365 Supply Chain Management. The production manager notices that raw material inventory levels frequently drop below the reorder point, causing production delays. Which feature should be configured to automatically suggest purchase orders based on demand and current inventory levels?

Accepted Answer

Master planning. Master planning in Dynamics 365 Supply Chain Management calculates material and capacity requirements based on demand and automatically generates planned purchase orders to maintain optimal inventory levels. Option A (Landed cost) is used to manage costs associated with importing goods, not for automatic replenishment. Option B (Warehouse management) focuses on warehouse operations like receiving, picking, and shipping, not on planning purchase orders. Option C (Inventory Visibility) provides real-time inventory visibility but does not automatically suggest purchase orders.

Answer

Landed cost

Answer

Warehouse management

Answer

Inventory Visibility

Question 3

Refer to the exhibit. A fixed asset is configured as shown. What is the depreciation amount for the first year (2025) if the company uses a half-year convention?

Accepted Answer

10000.00. The asset cost is $50,000 with a 5-year useful life and 200% declining balance method with half-year convention. Straight-line rate = 1/5 = 20%. Double-declining rate = 2 × 20% = 40%. First-year depreciation with half-year convention: $50,000 × 40% × 0.5 = $10,000. Option A ($20,000) ignores the half-year convention. Option C ($12,000) is not a valid calculation. Option D ($10,000 straight-line) is incorrect because the method used is declining balance, not straight-line.

Answer

20000.00

Answer

12000.00

Answer

10000.00 (straight-line)

Question 4

Which THREE of the following are valid configurations for intercompany accounting in Dynamics 365 Finance?

Accepted Answer

Elimination rules can be defined to automatically remove intercompany transactions during consolidation.. Options A, C, and E are correct. A: Elimination rules can be defined to automatically remove intercompany transactions during consolidation, which is a standard feature in Dynamics 365 Finance. C: Intercompany journals can be set up to post automatically to both legal entities involved, streamlining the accounting process. E: Intercompany sales orders and purchase orders can be automatically generated through intercompany workflows, reducing manual effort. Options B and D are incorrect. B: Intercompany transactions do not require the same currency; they can be in different currencies with exchange rate adjustments. D: While intercompany transactions involve multiple legal entities, they are not posted separately to a distinct legal entity for each transaction; they are posted within the same legal entity setup.

Answer

Intercompany transactions must use the same currency.

Answer

Each intercompany transaction must be posted to a separate legal entity.

Question 5

Refer to the exhibit. A Dynamics 365 Finance system has a vendor invoice workflow configured as shown. A vendor invoice with an amount of $15,000 is submitted. Who will be required to approve the invoice?

Accepted Answer

First the manager, then the director. The workflow first checks if the amount exceeds $10,000. Since $15,000 is greater than $10,000, the invoice requires manager approval first. After that, the second step always requires director approval. Therefore, the manager approves first, followed by the director. Option A is incorrect because the order is reversed. Option C is wrong because the director's approval is also required. Option D is wrong because the manager's approval is required first.

Answer

First the director, then the manager

Answer

Only the manager

Answer

Only the director

Question 6

A company uses Dynamics 365 Finance and wants to automatically post vendor invoices from a purchase order receipt. Which process should be configured?

Accepted Answer

Accounts payable parameters with automatic posting. The 'Post invoice automatically' option in the accounts payable parameters (Accounts payable > Setup > Accounts payable parameters > Invoice > Invoice validation) allows automatic posting of vendor invoices when goods are received from a purchase order. Option A is wrong because vendor invoice policies are used for invoice approval, not automatic posting. Option B is wrong because invoice matching validation ensures accuracy between the invoice, receipt, and purchase order but doesn't automate posting. Option D is wrong because purchase order approval workflows handle the approval process, not automatic invoice posting.

Answer

Vendor invoice policy

Answer

Invoice matching validation

Answer

Purchase order approval workflow

Question 7

A company uses Dynamics 365 Supply Chain Management with warehouse management. They want to improve picking accuracy by requiring workers to scan each item's barcode and the location barcode during picking. Which TWO configurations are necessary?

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

Accepted Answer

Wave execution. Wave execution optimizes the picking process by grouping multiple orders and directing workers to pick items from locations that minimize travel distance, often using shortest-path algorithms. Option A is incorrect because Mobile device menu items define what tasks workers see on their devices but do not inherently optimize travel distance. Option B is incorrect because Location directives determine the specific locations from which items should be picked, but they do not optimize travel distance across orders. Option C is incorrect because Work templates define the structure and steps of work, not the optimization of travel distance.

Answer

Mobile device menu items

Answer

Location directives

Answer

Work templates

Question 8

A retail company uses Dynamics 365 Supply Chain Management to manage inventory across multiple warehouses. They want to ensure that when a sales order is created for a product, the system automatically reserves inventory from the nearest warehouse. Which feature should be used?

Accepted Answer

Available-to-promise (ATP). Available-to-promise (ATP) is the correct feature because it calculates the quantity available to promise based on supply and demand across multiple warehouses, allowing the system to reserve inventory from the nearest warehouse. Option A (Sales and marketing) handles sales processes but not automated reservation. Option B (Warehouse management) manages warehouse operations but does not determine nearest warehouse reservation. Option D (Procurement and sourcing) deals with purchasing, not sales order reservation.

Answer

Sales and marketing

Answer

Warehouse management

Answer

Procurement and sourcing

Question 9

A company uses Dynamics 365 Supply Chain Management with warehouse management. They want to improve picking accuracy by requiring workers to scan each item's barcode and the location barcode during picking. Which TWO configurations are necessary?

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

Accepted Answer

Available-to-Promise (ATP) with inventory reservation. ATP (Available-to-Promise) with inventory reservation checks inventory availability in real-time when a sales order is created. If sufficient inventory is not available, the system can automatically place the order on hold until the required materials become available. Option A (Inbound load planning) focuses on receiving inbound shipments, not sales order availability. Option C (Transfer order status) manages internal transfer orders, not direct sales order fulfillment. Option D (Quality orders) is about quality control processes, not inventory availability.

Answer

Inbound load planning

Answer

Transfer order status

Answer

Quality orders

Question 10

A company uses Dynamics 365 Supply Chain Management with warehouse management. They want to improve picking accuracy by requiring workers to scan each item's barcode and the location barcode during picking. Which TWO configurations are necessary?

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

Accepted Answer

Verify that the dual-write table mappings include the pricing entity. Dual-write relies on table mappings to synchronize data between Dynamics 365 applications. If the mapping for the pricing entity is not included or is inactive, changes to pricing in Supply Chain Management will not be reflected in Sales. Option A is incorrect because currency exchange rates are unrelated to the synchronization of pricing data; they affect currency conversion, not data sync. Option B is incorrect because while the Power Platform admin center can show data integration errors, the first step is to verify that the necessary table mappings exist. Option D is incorrect because the pricing engine's real-time setting is not related to dual-write synchronization; the issue is about the mapping configuration.

Answer

Check the currency exchange rates in both systems

Answer

Review the Power Platform admin center for data integration errors

Answer

Ensure that the pricing engine is set to real-time updates

Question 11

Which TWO of the following are capabilities of the Master Planning module in Dynamics 365 Supply Chain Management?

Accepted Answer

Calculate resource requirements for capacity planning. Options A and D are correct. The Master Planning module calculates resource requirements for capacity planning (A) and generates planned purchase and production orders (D). Option B is incorrect because financial statements are generated by the General Ledger module. Option C is incorrect because customer relationship management is handled by the Sales and Marketing modules. Option E is incorrect because employee time and attendance is tracked in the Time and Attendance module.

Answer

Generate financial statements such as balance sheet

Answer

Manage customer relationships and sales pipelines

Answer

Track employee time and attendance

Question 12

A company uses Dynamics 365 Supply Chain Management with warehouse management. They want to improve picking accuracy by requiring workers to scan each item's barcode and the location barcode during picking. Which TWO configurations are necessary?

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

Accepted Answer

Set up shelf life (best before date) tracking for the product. Options A and E are correct. Shelf life tracking (best before date) is required to enforce that a product uses a specific formula version based on its shelf life. Setting 'From date' and 'To date' on the formula version defines its validity period, allowing the system to select the appropriate version. Option B is incorrect because BOM versions are for discrete manufacturing, not process manufacturing. Option C is incorrect because catch weight is for variable weight products, not for shelf life enforcement. Option D is incorrect because location directives are for warehouse management, not for formula version selection.

Answer

Create a BOM version instead of a formula version

Answer

Enable catch weight on the product

Answer

Configure a location directive for the warehouse

Question 13

An organization needs to track the budget versus actual expenses for each department in real time. Which Dynamics 365 Finance feature should be used?

Accepted Answer

Budget control. Budget control in Dynamics 365 Finance enables real-time tracking of budget versus actual expenses by automatically checking budget balances against actual expenditures. Therefore, option C is correct. Option A (Budget planning) is used for creating and approving budgets, not for tracking in real time. Option B (General ledger) records actual transactions but does not automatically compare to budget in real time. Option D (Financial reports) can be generated on demand but are not inherently real-time.

Answer

Budget planning

Answer

General ledger

Answer

Financial reports

Question 14

Which THREE modules are part of Dynamics 365 Finance?

Accepted Answer

Budgeting. Options B, C, and D are correct. Budgeting, General ledger, and Accounts payable are core modules in Dynamics 365 Finance. Option A is incorrect because Human resources is a separate Dynamics 365 app, not part of Finance. Option E is incorrect because Project management and accounting is part of Dynamics 365 Project Operations, not Finance.

Answer

Human resources

Answer

Project management and accounting

Question 15

Which TWO of the following are capabilities of Dynamics 365 Finance? (Choose two.)

Accepted Answer

Fixed asset management. Correct: C and E. Fixed asset management (C) is a core module within Dynamics 365 Finance, handling asset lifecycle, depreciation, and disposal. Budget control (E) is a key feature for monitoring and enforcing budget limits. Option A (Project scheduling) belongs to Project Operations, not Finance. Option B (Marketing automation) is part of Dynamics 365 Marketing. Option D (Customer service management) is in Dynamics 365 Customer Service.

Answer

Project scheduling

Answer

Marketing automation

Answer

Customer service management