MB-920 Practice Test 35 — 15 Questions

Question 1

A company uses Dynamics 365 Project Operations. The project manager needs to track actual hours worked against budgeted hours for a fixed-price project. Which module should be used?

Accepted Answer

Project management. In Dynamics 365 Project Operations, the Project management module (specifically the Project Planning and Tracking area) is the correct place to monitor actual hours worked against budgeted hours for a fixed-price project. This module provides the project manager with a view of planned vs. actual effort, allowing them to track progress and ensure the project stays within the fixed budget.

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Resource management

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Expense management

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Time and attendance

Question 2

A company using Dynamics 365 Finance needs to ensure that purchase requisitions over $10,000 are reviewed by a manager before becoming purchase orders. Which feature should they use?

Accepted Answer

Workflow. Workflow in Dynamics 365 Finance is used to automate business processes, including approvals. By configuring a workflow for purchase requisitions, you can set conditions such as total amount over $10,000 to require approval by a manager before the requisition can proceed to a purchase order. This ensures the required review.

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Purchase agreements

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Procurement catalogs

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Budget control

Question 3

Which TWO features in Dynamics 365 Finance help organizations comply with international accounting standards such as IFRS? (Select TWO.)

Accepted Answer

Multiple posting layers. Multiple posting layers (A) is correct because Dynamics 365 Finance lets you post the same transaction to separate layers such as Current, Operations, and Tax, so you can maintain an IFRS-basis ledger alongside a local statutory ledger without duplicating data entry. Dual currency support (D) is correct because it allows accounting and reporting currencies to be tracked independently, including the ability to store historical exchange rates and remeasure amounts, which is essential for translating foreign-currency transactions and financial statements under IAS 21. Vendor payment proposal (B) is incorrect because it is an accounts payable processing tool for selecting and generating payments, not an accounting-standards compliance feature. Budget control (C) is incorrect because it enforces spending limits against budget registers and does not address international reporting frameworks. Fixed asset management (E) is incorrect because, while it handles depreciation and asset accounting, it is a subledger function rather than a mechanism specifically designed for IFRS compliance.

Answer

Vendor payment proposal

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Budget control

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Fixed asset management

Question 4

A manufacturing company uses Dynamics 365 Supply Chain Management and wants to automate the creation of production orders when a sales order is received for a make-to-order item. What should they configure?

Accepted Answer

Master planning. Master planning in Dynamics 365 Supply Chain Management can automatically generate planned production orders when a sales order is created for a make-to-order (MTO) item. By setting the item's coverage group to 'Make-to-order' and running master planning, the system creates a production order to fulfill the exact sales order quantity, enabling automated order-driven manufacturing.

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Route management

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Kanban rules

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Bill of materials

Question 5

A project manager in a consulting firm uses Dynamics 365 Project Operations. The manager needs to track employee time against specific project tasks and ensure that overtime is approved by the project lead. Which time entry methodology should be used?

Accepted Answer

Use the project time entry and approval workflow.. In Dynamics 365 Project Operations, tracking employee time against specific project tasks with overtime approval requires the project time entry and approval workflow. This methodology allows time entries to be submitted against project tasks, and the workflow can enforce approval rules, such as requiring project lead approval for overtime hours. The other options do not support task-level time tracking with overtime approval.

Answer

Use the absence registration feature.

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Use the resource scheduling board to log time.

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Use the expense report to record time.

Question 6

A retailer using Dynamics 365 Commerce wants to offer a discount to customers who purchase a specific combination of items. The discount should be applied automatically at the point of sale. Which type of pricing rule should they configure?

Accepted Answer

Mix and match discount. A mix and match discount is the correct pricing rule because it is specifically designed for scenarios where a discount is applied when a customer purchases a predefined combination of distinct items. In Dynamics 365 Commerce, this rule automatically triggers at the point of sale when the qualifying product set is scanned, without requiring manual intervention.

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Quantity discount

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Simple discount

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Threshold discount

Question 7

A company uses Dynamics 365 Finance and Operations and wants to implement Copilot AI capabilities to assist users with financial analysis. They need to enable natural language queries against financial data, such as 'Show me the total revenue for this quarter compared to last quarter'. What should they enable?

Accepted Answer

Copilot in Dynamics 365 Finance. Copilot in Dynamics 365 Finance is the specific AI-powered feature that enables natural language queries against financial data within the Dynamics 365 Finance module. It allows users to ask questions like 'Show me the total revenue for this quarter compared to last quarter' and receive answers directly from the underlying financial data, leveraging generative AI to interpret the query and retrieve relevant insights without requiring custom development or external services.

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Financial reporting

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Azure OpenAI service

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Power BI integration

Question 8

A production supervisor needs to see which production orders are currently running and their status. Which workspace should they use?

Accepted Answer

Production floor management workspace. The Production floor management workspace is specifically designed for production supervisors to monitor and manage production orders in real time. It provides a consolidated view of all production orders, their current status (e.g., started, reported as finished), and key performance indicators, enabling immediate action on the shop floor.

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Procurement and sourcing workspace

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Cost management workspace

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Warehouse management workspace

Question 9

A retail company uses Dynamics 365 Supply Chain Management to manage inventory across multiple stores. They want to ensure that stock levels at stores are automatically replenished from the central warehouse when inventory drops below a defined threshold. Which planning method should they configure?

Accepted Answer

Replenishment (min/max). Replenishment (min/max) is the correct planning method because it automatically triggers replenishment orders from the central warehouse when inventory at a store falls below a defined minimum threshold, and it stops when stock reaches the maximum level. This method is specifically designed for location-based inventory replenishment in Dynamics 365 Supply Chain Management, ensuring that stores maintain optimal stock without manual intervention.

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Inventory aging

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Demand forecasting

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Safety stock

Question 10

You are a functional consultant for a retail company deploying Dynamics 365 Finance and Operations. The client wants to manage their financial consolidation across multiple legal entities with different chart of accounts. They need to eliminate intercompany transactions automatically during consolidation. Which feature should you recommend?

Accepted Answer

Consolidation [Elimination]. The Consolidation [Elimination] feature in Dynamics 365 Finance is specifically designed to handle financial consolidation across multiple legal entities with different charts of accounts. It automatically generates elimination entries to remove intercompany transactions, ensuring that consolidated financial statements reflect only external activities. This directly meets the client's requirement for automated elimination during consolidation.

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Financial reporting

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Intercompany accounting

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Budget planning

Question 11

A service company uses Dynamics 365 Finance and Operations and wants to track project costs against budgets in real-time. They need to automatically prevent further spending when a project exceeds its budget. Which feature should they configure?

Accepted Answer

Budget control. Budget control in Dynamics 365 Finance and Operations is the correct feature because it enables real-time tracking of project costs against budgets and can automatically prevent further spending when a budget threshold is exceeded. It enforces budget limits by checking available budget balances before transactions are posted, and can block or warn users when a project's budget is exhausted. This directly meets the requirement to stop spending automatically when a project exceeds its budget.

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Expense management

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Project accounting

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Fixed asset management

Question 12

A company uses Dynamics 365 Supply Chain Management. They want to automatically send purchase orders to suppliers and receive order confirmations electronically. Which feature should they implement?

Accepted Answer

Vendor collaboration. Vendor collaboration is the Dynamics 365 SCM feature that provides a supplier-facing portal where vendors can receive purchase orders electronically, confirm them, update delivery dates, and collaborate on consignment and invoice details. It directly enables the electronic exchange of POs and order confirmations with suppliers, which is exactly what the company wants.

Answer

Purchase requisition

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Procurement and Sourcing

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Inventory Visibility

Question 13

A logistics company uses Dynamics 365 Finance and Operations to manage freight and transportation. They want to optimize delivery routes and reduce fuel costs by automatically consolidating shipments going to the same geographic area. Which feature should they enable?

Accepted Answer

Transportation management. Transportation management (option B) is the correct feature because it is specifically designed to handle freight and transportation operations, including route optimization and shipment consolidation. By automatically grouping shipments destined for the same geographic area, it reduces the number of trips, lowers fuel costs, and improves delivery efficiency. This capability is built into the Transportation management module of Dynamics 365 Finance and Operations.

Answer

Warehouse management

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Inventory management

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Sales and marketing

Question 14

A warehouse manager queries the on-hand inventory for item L0101 and receives the JSON output above:

```json
{
  "ItemId": "L0101",
  "OnHandQuantity": 700,
  "PhysicallyReserved": 400,
  "AvailablePhysical": 300
}
```

Currently, how many units of item L0101 are available to be picked for new orders?

Accepted Answer

300. The on-hand inventory for item L0101 is 700 units, but 400 units are physically reserved for existing orders. The available-to-pick quantity is the on-hand total minus physically reserved inventory, which equals 300 units. This is confirmed by the 'AvailablePhysical' field in the JSON output, which directly represents the quantity available to be picked for new orders in Dynamics 365 Supply Chain Management.

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500

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200

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700

Question 15

A manufacturer needs to define the sequence of operations and work centers for producing a finished good. Which supply chain entity should they configure?

Accepted Answer

Route. In Dynamics 365 Supply Chain Management, a Route defines the sequence of operations and the specific work centers (or resources) required to produce a finished good. It links each operation step to a resource or resource group, establishing the production flow and timing. Configuring a Route is the correct entity for specifying the order of operations and work centers, as it directly models the manufacturing process.

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Resource

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Production order

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Bill of materials