MB-920 Practice Test 36 — 15 Questions

Question 1

A company uses Dynamics 365 Supply Chain Management to manage its supply chain. They have multiple vendors for the same raw material. The procurement team wants to receive automatic suggestions on which vendor to select when creating purchase orders, based on the lowest price and best delivery history. Currently, the buyers research manually. Which feature should they use?

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

Accepted Answer

Vendor scorecards and rating. Vendor scorecards and rating in Dynamics 365 Supply Chain Management allow procurement teams to evaluate and compare vendors based on criteria such as price and delivery history, enabling automatic suggestions when creating purchase orders. Option A is incorrect because request for quotation is a process to solicit bids from vendors, not a tool for automatic suggestion. Option B is incorrect because purchase agreements are contracts that define terms, not a recommendation mechanism. Option C is incorrect because vendor collaboration is a portal for communication and document sharing, not for vendor evaluation and suggestion.

Answer

Request for quotation

Answer

Purchase agreements

Answer

Vendor collaboration

Question 2

Which TWO of the following are valid actions when using the 'Vendor collaboration' workspace in Dynamics 365 Finance?

Accepted Answer

Vendors can respond to purchase order confirmations.. Vendor collaboration in Dynamics 365 Finance allows vendors to respond to purchase order confirmations (option C) and view their invoices (option D). Options A, B, and E are incorrect: vendors cannot approve purchase requisitions, update item prices, or create purchase orders.

Answer

Vendors can approve purchase requisitions.

Answer

Vendors can update item prices.

Answer

Vendors can create purchase orders.

Question 3

You are reviewing the period closing checklist in Dynamics 365 Finance as shown in the exhibit. Which task must be completed before the period can be closed?

Accepted Answer

Post vendor invoices. In Dynamics 365 Finance, the period closing checklist includes various tasks, but not all are mandatory for the period to be closed. The critical prerequisite is that all vendor invoices must be posted before the period close can be executed. Unposted invoices would prevent the closing process. Generating the vendor aging report or running currency revaluation are optional or can be done after closing. Therefore, posting vendor invoices is the task that must be completed.

Answer

Generate vendor aging report

Answer

All tasks must be completed

Answer

Run currency revaluation

Question 4

Jane Smith requests 2 days of vacation on 01/15/2023. Her available balance shows 0 days. Why is her balance zero?

Accepted Answer

The first accrual of the year occurs on February 1, not January 1.. In Dynamics 365 Human Resources, the default leave and absence configuration sets the first accrual date of the year to February 1, not January 1. Since Jane requests vacation on January 15, the system has not yet processed any accrual for the new year, leaving her available balance at zero. This behavior is controlled by the 'Accrual date basis' and 'Accrual schedule' settings in the leave plan.

Answer

The accrual rate is too low to accrue any days by mid-January.

Answer

Carry forward rules reset at the beginning of each year.

Answer

Jane's hire date causes a prorated accrual that has not been processed.

Question 5

Which TWO features in Dynamics 365 Supply Chain Management help ensure product quality during the receiving process?

Accepted Answer

Item sampling. Item sampling (Option A) is correct because it allows you to define a subset of received items to be inspected, reducing the inspection workload while still ensuring quality. Quality orders with inspection criteria (Option C) are correct because they enable you to create formal quality orders that specify test types, acceptable quality levels, and inspection results, ensuring that only conforming products are accepted into inventory.

Answer

Location directives

Answer

Product compliance

Answer

Inventory status management

Question 6

A company uses Dynamics 365 Human Resources. They want to automate the process of approving time-off requests based on employee tenure and department. What feature should be configured?

Accepted Answer

Leave and absence management. Leave and absence management in Dynamics 365 Human Resources provides the workflow engine and rule-based configuration needed to automate time-off request approvals. It allows administrators to define approval policies based on employee attributes such as tenure and department, enabling automatic routing and decision-making without manual intervention.

Answer

Compensation management

Answer

Recruitment

Answer

Performance management

Question 7

A company uses Dynamics 365 Supply Chain Management to manage its supply chain. They have multiple vendors for the same raw material. The procurement team wants to receive automatic suggestions on which vendor to select when creating purchase orders, based on the lowest price and best delivery history. Currently, the buyers research manually. Which feature should they use?

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

Accepted Answer

Configure location directives to enforce directed put-away based on item movement frequency. B is correct because location directives in Dynamics 365 Supply Chain Management can be configured to enforce directed put-away based on item movement frequency, which automatically places fast-moving items in more accessible locations. This improves picking efficiency without requiring a physical warehouse rearrangement, addressing the random storage strategy's lack of organization.

Answer

Implement replenishment to move items to primary picking locations

Answer

Perform cycle counting more frequently

Answer

Create additional warehouse locations to spread out items

Question 8

Refer to the exhibit. The SQL-like query is used to retrieve data from Dynamics 365 Finance. What does this query return?

Accepted Answer

Main accounts with total debits greater than 10,000, ordered by total descending.. The query selects MainAccount and sum of Amount from GeneralJournalEntry for a specific date range, groups by MainAccount, filters groups with total amount > 10000, and orders by total descending. Option A is wrong because it does not filter by a specific account. Option C is wrong because it returns only accounts with total > 10000. Option D is wrong because it is not ordered ascending.

Answer

All general journal entries for a specific main account.

Answer

Main accounts with total amounts less than 10,000, ordered ascending.

Answer

All main accounts with any activity in 2025.

Question 9

A company uses Dynamics 365 Commerce. They want to offer personalized product recommendations to online shoppers based on their browsing history and purchase patterns. Which Copilot feature should they enable?

Accepted Answer

Copilot in Dynamics 365 Commerce. Copilot in Dynamics 365 Commerce provides AI-driven personalized product recommendations. Option A is wrong because Copilot in Dynamics 365 Customer Service focuses on service-related suggestions, not e-commerce recommendations. Option B is wrong because Copilot in Dynamics 365 Finance provides financial insights, not product recommendations. Option D is wrong because Copilot in Dynamics 365 Sales focuses on lead scoring and sales insights, not e-commerce recommendations.

Answer

Copilot in Dynamics 365 Customer Service

Answer

Copilot in Dynamics 365 Finance

Answer

Copilot in Dynamics 365 Sales

Question 10

Refer to the exhibit. A company uses Dynamics 365 Finance, Supply Chain Management, Commerce, and Human Resources. They want to use Copilot to predict inventory demand and suggest reorder points. Based on the exhibit, which Copilot capability should they enable?

Accepted Answer

Copilot in Supply Chain Management. Copilot in Supply Chain Management is the correct capability because it is specifically designed to analyze historical demand data, forecast future inventory needs, and suggest optimal reorder points. The scenario involves predicting inventory demand and reorder points, which falls under supply chain planning and inventory optimization features within Dynamics 365 Supply Chain Management.

Answer

Copilot in Human Resources

Answer

Copilot in Finance

Answer

Copilot in Commerce

Question 11

A global manufacturer uses Dynamics 365 Supply Chain Management. They produce high-value machinery and need to track the exact materials used in each finished good for service and warranty purposes. The company uses discrete manufacturing with production orders. Currently, the system estimates material consumption based on the bill of materials (BOM), but actual consumption may vary due to scrap or rework. The company wants to capture actual material consumption in real time on the shop floor using handheld scanners. You need to configure the system to allow shop floor workers to report material consumption against a production order. You have the following options: A. Use the Production floor execution interface and enable the 'Report as finished' and 'Report as consumed' options on the production order. B. Use the Warehouse Management mobile app to perform a raw material picking and consumption process via a mobile device menu item. C. Use the BOM version to force exact consumption and ignore variances. D. Use the Inventory adjustments journal to manually reduce raw material inventory after production. Which option should you choose?

Accepted Answer

Use the Warehouse Management mobile app to perform a raw material picking and consumption process via a mobile device menu item.. The Warehouse Management mobile app can be configured with a menu item for raw material picking and consumption, allowing real-time scanning and actual consumption capture on the shop floor. Option A is incorrect because the Production floor execution interface is primarily for reporting progress and finishing, but consumption reporting via that interface does not provide the same real-time scanning capability as the warehouse mobile app. Option B is incorrect because the Inventory adjustments journal is a manual, after-the-fact process that does not capture consumption in real time and is prone to errors. Option D is incorrect because forcing exact consumption via the BOM version ignores actual variances such as scrap or rework, which defeats the purpose of tracking actual material usage.

Answer

Use the Production floor execution interface and enable the 'Report as finished' and 'Report as consumed' options on the production order.

Answer

Use the Inventory adjustments journal to manually reduce raw material inventory after production.

Answer

Use the BOM version to force exact consumption and ignore variances.

Question 12

Which THREE of the following are core capabilities of Dynamics 365 Finance?

Accepted Answer

Fixed assets management. Fixed assets management is a core capability of Dynamics 365 Finance because it provides end-to-end lifecycle tracking of tangible assets—from acquisition and depreciation to disposal. The module supports multiple depreciation conventions (e.g., straight-line, declining balance) and integrates with the general ledger for automatic posting of asset transactions, ensuring accurate financial reporting and compliance with accounting standards like IFRS and GAAP.

Answer

Loyalty programs

Answer

Inventory valuation

Question 13

You are configuring a landed cost voyage. The company wants to ensure that the goods are tracked as in-transit inventory from the time they leave the port of loading. Which element in the exhibit enables this?

Accepted Answer

GoodsInTransitOrder. The 'GoodsInTransitOrder' field creates a goods-in-transit order that tracks inventory from the port of loading until it is received at the destination. Option A (PortOfLoading and PortOfDischarge) are location fields specifying the voyage route, not inventory tracking. Option B (VoyageId) is a unique identifier for the voyage, not a tracking mechanism. Option C (CostType and Amount) are financial fields for estimated costs, unrelated to in-transit inventory.

Answer

PortOfLoading and PortOfDischarge

Answer

VoyageId

Answer

CostType and Amount

Question 14

A company uses Dynamics 365 Supply Chain Management. They want to use the vendor collaboration feature to share purchase order information with suppliers. What is a prerequisite?

Accepted Answer

The vendor must be set up as a user with the 'Vendor' role in Microsoft Entra ID.. Vendor collaboration requires vendor users to be set up with the 'Vendor' security role (external) in Microsoft Entra ID to access the external vendor portal. Option B is incorrect because procurement categories are not a prerequisite; they are used for internal procurement management. Option C is incorrect because adding a vendor to the procurement catalog is not required; the catalog is for internal use. Option D is incorrect because an active purchase agreement is not required for vendor collaboration; purchase agreements are separate contract documents.

Answer

The vendor must have a procurement category assigned.

Answer

The vendor must be added to the procurement catalog.

Answer

A purchase agreement must be active for the vendor.

Question 15

You are a Dynamics 365 Finance consultant for a medium-sized manufacturing company that recently implemented Dynamics 365 Finance. The company uses the perpetual inventory system with standard cost. They have encountered an issue where the inventory value in the general ledger does not match the inventory value in the inventory module. After investigation, you discover that some purchase order receipts were posted directly to the general ledger without updating inventory quantities. The CFO wants to ensure that inventory financial postings are always synchronized with inventory transactions. The company uses batch processing for inventory closing. They need a solution that prevents discrepancies in the future. Requirements: 1) Ensure that all inventory transactions update both inventory quantities and financial postings. 2) Minimize manual intervention. 3) Use existing Dynamics 365 Finance features. Which course of action should you recommend?

Accepted Answer

Enable the 'Post inventory to General ledger' parameter in Inventory and warehouse management parameters, and ensure that the 'Inventory closing' batch job runs regularly.. Enabling the 'Post inventory to general ledger' parameter in Inventory and warehouse management parameters ensures that all inventory transactions automatically update both inventory quantities and financial postings. Running the 'Inventory closing' batch job regularly recalculates inventory costs and corrects discrepancies, minimizing manual intervention. This uses existing Dynamics 365 Finance features and prevents future discrepancies. Option A requires manual comparison and adjusting entries, which introduces manual intervention and does not prevent discrepancies proactively. Option C changes the costing method but does not address the synchronization issue; standard cost can work with proper posting. Option D also relies on manual correction and does not prevent future discrepancies.

Answer

Create a recurring batch job that compares inventory value in the inventory module to GL and posts adjusting entries.

Answer

Set the 'Inventory model' to 'FIFO' instead of 'Standard cost'.

Answer

Use the 'Inventory recalculation' report monthly and manually correct discrepancies.