MB-920 Practice Exam 61 — 20 Questions

Question 1

Contoso Ltd. is a manufacturing company with 1,200 employees across three legal entities: USMF (United States), FRRT (France), and GBSI (United Kingdom). They are implementing Dynamics 365 Human Resources. The HR director wants to set up a unified absence management system that complies with local regulations. In the US, employees accrue vacation based on years of service (0-5 years: 10 days; 5+ years: 15 days). In France, all employees receive 25 days annually, plus additional RTT days for managers. In the UK, statutory leave is 28 days, but the company offers 25 days base with 3 bank holidays. The system must automatically calculate accruals on the first day of each month for US and UK, and at the start of the leave year (January 1) for France. Additionally, employees in France must be able to request RTT days separately, and managers must approve them. The HR team is unsure how to configure this. Which approach should be recommended?

Accepted Answer

Create separate leave and absence plans for each legal entity, configuring accrual rules, frequencies, and leave types per country.. Option B is correct because Dynamics 365 Human Resources allows you to create separate leave and absence plans per legal entity, each with its own accrual rules, frequencies, and leave types. This enables you to configure US vacation accruals based on years of service with monthly accrual, French annual leave with RTT days and yearly accrual, and UK statutory leave with bank holidays, all while complying with local regulations.

Answer

Create a single global leave plan with the maximum accrual (28 days) and then manually adjust balances for each employee based on their country.

Answer

Use compensation plans to handle leave entitlements because they are based on employee classification.

Answer

Use the same leave plan for all entities and rely on approval workflows to validate leave requests according to local rules.

Question 2

You are an ERP consultant for Contoso Ltd., a manufacturing company that recently deployed Dynamics 365 Finance and Supply Chain Management. The company has two legal entities: USMF (US operations) and EURF (European operations). They use a shared chart of accounts and shared products. The finance team reports that when they post a purchase invoice in USMF, the general ledger entries appear correctly, but when they view the trial balance in EURF, they see unexpected balances in accounts that should not have any activity. The EURF trial balance shows transactions from USMF postings. However, the EURF team has not posted any transactions. The shared chart of accounts is correctly configured. The intercompany accounting setup is not enabled. What is the most likely cause of this issue?

Accepted Answer

The main accounts in the shared chart of accounts are missing the legal entity financial dimension assignment. The shared chart of accounts allows multiple legal entities to use the same set of main accounts, but each legal entity must have its own legal entity financial dimension assignment to segregate transactions. Without this assignment, postings in USMF are not filtered by legal entity, causing them to appear in EURF's trial balance. Since intercompany accounting is not enabled, the issue is not related to intercompany or consolidation, but rather to missing dimension filtering.

Answer

The consolidation process is incorrectly configured to include USMF transactions in EURF

Answer

The shared chart of accounts is not properly synchronized between legal entities

Answer

Intercompany accounting is enabled but configured incorrectly

Question 3

You are a Dynamics 365 consultant for a wholesale distribution company that uses Dynamics 365 Supply Chain Management. The company has a warehouse that uses a 'pick and pack' process. They recently implemented mobile device scanning for warehouse operations. The warehouse manager reports that when workers try to pick items using the mobile device, they receive an error: 'Work not found for this location'. The work creation process is set up correctly, and the mobile device menu items are configured. The location directives and work templates appear correct. The inventory is available at the location. What is the most likely cause?

Accepted Answer

The work has not been released to the mobile device user or warehouse. The error 'Work not found for this location' typically occurs when the work order has been created but not yet released to the warehouse or assigned to a specific user. In Dynamics 365 Supply Chain Management, work must be released via the 'Release to warehouse' process or through wave execution before it becomes available for mobile device scanning. Since the location directives and work templates are correct and inventory exists, the most likely cause is that the work has not been released to the mobile device user or warehouse.

Answer

The item is not enabled for mobile device processing

Answer

The mobile device menu item is not linked to the correct work template

Answer

The location profile is not set to allow picking

Question 4

You are the Dynamics 365 Commerce administrator for a retail chain with 50 stores. The company recently deployed the Commerce Scale Unit (CSU) with an onsite database for each store to support offline operations. During a routine check, you notice that one store's CSU database has not synchronized with the headquarters for the past 24 hours, and the store manager reports that some transactions are failing with a 'database connection error'. You verify that the store's internet connection is active and the CSU service is running. However, the Async Client service shows a status of 'Stopped' on the store's POS server. What should you do first to resolve the issue?

Accepted Answer

Restart the Async Client service on the store's POS server. The Async Client service is responsible for synchronizing data between the store's Commerce Scale Unit (CSU) and the headquarters. When this service is in a 'Stopped' state, it cannot process the Commerce Data Exchange (CDX) jobs that push transactions and pull master data, causing the database to fall out of sync and leading to transaction failures due to stale or missing data. Restarting the Async Client service is the immediate corrective action because it re-establishes the communication channel without requiring reconfiguration or reinstallation.

Answer

Create a new Commerce Data Exchange session in the back office

Answer

Reconfigure the Async Client endpoint URLs in the CSU configuration

Answer

Reinstall the Commerce Scale Unit on the store's server

Question 5

Contoso Retail is a mid-sized company with 50 physical stores and an online store. They use Dynamics 365 Commerce. Recently, they launched a promotion offering 20% off on all electronics for a weekend. During the promotion, the online store experienced slow page load times, and some customers reported errors when adding items to the cart. The IT team checked the infrastructure and found that the Retail Server CPU usage was at 95%, and the channel database had high lock contention. The POS systems in stores were working fine. The company uses a single Retail Server instance and a single channel database for all channels. What is the best course of action to prevent this issue in future promotions?

Accepted Answer

Scale out the Retail Server and channel database to handle increased load.. The issue stems from a single Retail Server and single channel database being overwhelmed by the combined load of online and POS traffic during the promotion. Scaling out the Retail Server (e.g., adding more instances behind a load balancer) and the channel database (e.g., using a dedicated online channel database or scaling up/out the existing one) directly addresses the high CPU usage and lock contention, ensuring adequate capacity for future high-traffic events.

Answer

Disable the online store during promotions to ensure POS performance.

Answer

Configure the online store to use offline mode.

Answer

Reduce the promotion discount to 10% to lower traffic.

Question 6

Northwind Traders operates a chain of grocery stores using Dynamics 365 Commerce. They recently implemented a new loyalty program where customers earn 1 point for every $1 spent, and 100 points can be redeemed for a $5 discount. The program is set up correctly in the headquarters. However, when a customer makes a purchase at a store, the POS does not display the loyalty points earned. The store manager confirms that the customer's loyalty card is linked to the customer account. The IT team verifies that the loyalty program is published to the channel. What is the most likely cause of the issue?

Accepted Answer

The POS screen layout does not include the loyalty points field.. Option B is correct because the POS screen layout controls which fields are visible to the cashier. Even if the loyalty program is correctly configured in Headquarters and published to the channel, the POS will not display loyalty points earned unless the screen layout includes the specific loyalty points field. The store manager confirmed the loyalty card is linked, and the IT team verified the program is published, so the missing field in the screen layout is the most likely cause.

Answer

The 'Process loyalty points' job is not scheduled.

Answer

The customer's loyalty card is not properly linked to the customer account.

Answer

The loyalty program is not published to the store's channel database.

Question 7

You are the project manager for a large engineering firm that uses Dynamics 365 Project Operations. Your organization has recently deployed Project Operations and is using it to manage multiple concurrent projects. You have been assigned to a new project named 'Bridge Construction' which is a fixed-price contract with a total value of $2,000,000. The project is scheduled to run for 12 months. During the first month, the team encounters an unexpected geological issue that requires additional surveying work. This additional work will require 200 hours of a senior geologist's time and 100 hours of a surveyor's time. The project contract has not accounted for this scope change. You need to ensure that the project stays profitable and that the client is billed appropriately. The client is open to change orders but expects formal documentation. What should you do?

Accepted Answer

Create a change order in the project contract to reflect the additional scope, then update the WBS and budget.. In Dynamics 365 Project Operations, when a fixed-price contract encounters unplanned scope, the correct process is to create a change order on the project contract to formally document the scope change, update the Work Breakdown Structure (WBS) with the new tasks, and adjust the budget accordingly. This ensures the client is billed correctly through the contract's billing rules and maintains project profitability by tracking the additional costs against the revised budget.

Answer

Create a separate internal project to track the additional costs and invoice the client manually.

Answer

Proceed with the work and adjust the final invoice at project completion.

Answer

Add the additional labor tasks to the existing work breakdown structure (WBS) and increase the project budget accordingly.

Question 8

You are a project administrator for a consulting company that uses Dynamics 365 Project Operations. The company has a team of 50 consultants who work on multiple projects simultaneously. The company uses time and material billing for most projects. You receive a complaint from a project manager that a consultant, John Doe, has not submitted his time entries for the past two weeks. The project manager needs to bill the client this week and John's time is critical for the invoice. You need to resolve this issue as quickly as possible. What should you do?

Accepted Answer

Contact John directly and ask him to submit his time entries immediately.. Option D is correct because the most direct and efficient way to resolve the immediate billing issue is to contact John directly and ask him to submit his time entries. In Dynamics 365 Project Operations, time entry submission is a user-driven process; there is no automated mechanism for a project administrator or system administrator to force-submit or manually enter time on behalf of a consultant without proper permissions or data integrity risks. Direct communication ensures the fastest resolution without bypassing system controls or introducing inaccurate data.

Answer

Manually enter the time entries for John based on his project schedule.

Answer

Escalate to the system administrator to force-submit the time entries.

Answer

Send an automatic reminder from the system and wait for John to submit.

Question 9

You are the Dynamics 365 Commerce administrator for a medium-sized retail company that operates 20 physical stores and an online store. The company uses Dynamics 365 Commerce with the built-in payment connector for credit card processing. Recently, the company started experiencing a high number of abandoned carts in the online store. Customers report that when they attempt to pay using a credit card, they receive an error message stating 'Payment authorization failed.' However, the same credit cards work fine when used in physical stores. The IT team has verified that the payment connector is configured correctly and that the payment gateway is operational. The online store's checkout page loads correctly and customers can enter their payment details. The error occurs only during the authorization step. What should you do to resolve this issue?

Accepted Answer

Review and update the payment connector configuration for the online store channel.. Option B is correct because the issue is isolated to the online store channel, where the payment connector configuration may be missing or incorrect for that specific channel. Since the physical stores process payments successfully, the problem is not with the payment gateway or the connector itself, but with how the connector is configured for the online channel. Reviewing and updating the payment connector configuration for the online store channel ensures that the authorization request is properly formatted and routed.

Answer

Install a hardware station at the online store's data center.

Answer

Reconfigure the credit card payment method in the headquarters.

Answer

Contact the payment gateway provider to check for service outages.

Question 10

Contoso Ltd. is a global manufacturer of industrial pumps. They use Dynamics 365 Supply Chain Management with warehouse management (WMS) enabled. The warehouse in Chicago has been experiencing frequent inventory discrepancies during cycle counting. The discrepancies are mostly for items stored in bulk locations (floor storage) with high movement volume. The warehouse manager suspects that the issue is related to how inventory transactions are processed during outbound picking. When pickers confirm a pick, the system immediately reduces on-hand inventory. However, the physical movement to the staging area often happens later, sometimes after the system confirmation. This timing difference leads to phantom inventory. The manager wants to avoid a full physical inventory and implement a solution that aligns system and physical movements without major process changes. They consider four options:

A. Enable negative inventory adjustments for bulk locations.
B. Use the 'Registration' process instead of picking confirmation for outbound orders.
C. Implement a staging location and use the 'Stage for packing' functionality to defer inventory reduction until the item is physically staged.
D. Disable cycle counting for bulk locations and rely on annual physical counts.

Which option should Contoso implement?

Accepted Answer

Implement a staging location and use the 'Stage for packing' functionality to defer inventory reduction until the item is physically staged.. Option C is correct because implementing a staging location with the 'Stage for packing' functionality allows the system to defer inventory reduction until the item is physically moved to the staging area. This aligns the system transaction with the physical movement, eliminating the phantom inventory caused by early picking confirmation. It solves the timing discrepancy without requiring major process changes or a full physical inventory.

Answer

Disable cycle counting for bulk locations and rely on annual physical counts.

Answer

Enable negative inventory adjustments for bulk locations.

Answer

Use the 'Registration' process instead of picking confirmation for outbound orders.

Question 11

A company uses Dynamics 365 Supply Chain Management to manage inventory across multiple warehouses. They want to implement a strategy where fast-moving items are stored closer to the shipping dock to reduce travel time. Currently, all items are stored randomly. You need to configure the system to automatically assign storage locations based on item movement frequency. The company uses advanced warehouse management. What should you do?

Accepted Answer

Configure location directives to direct putaway to locations near the shipping dock for items with high movement frequency.. Location directives in Dynamics 365 Supply Chain Management automatically guide putaway processes by evaluating criteria such as item movement frequency. By configuring a location directive with a query that identifies fast-moving items and directing them to locations near the shipping dock, the system ensures efficient, rule-based storage without manual intervention. This directly addresses the requirement to reduce travel time using advanced warehouse management capabilities.

Answer

Set up wave processing to prioritize fast-moving items during picking.

Answer

Define inventory statuses and enable 'Auto-report as finished' to trigger movement.

Answer

Create a new inventory status for fast-moving items and manually move them to desired locations.

Question 12

You are the system administrator for a global retail company using Dynamics 365 Commerce. The company operates multiple stores across different countries, each with its own currency and tax rules. The finance team needs to generate a consolidated financial report that includes sales data from all stores in a single currency (USD). The current setup uses separate legal entities for each country. You need to configure a solution that automatically consolidates financial data from all legal entities into a single reporting entity without manual data entry. The consolidation must include intercompany eliminations. What should you do?

Accepted Answer

Set up a consolidation company and run the consolidation process from the Consolidations module.. Option D is correct because Dynamics 365 Finance provides a dedicated Consolidations module that allows you to create a consolidation company and run the consolidation process to automatically combine financial data from multiple legal entities into a single reporting entity. This process supports intercompany eliminations and currency translation to USD, eliminating manual data entry.

Answer

Use Microsoft Power BI to connect to each legal entity's database and create a consolidated report.

Answer

Use the Excel add-in to pull data from each legal entity and consolidate manually.

Answer

Export data from each legal entity using Data management and import into a single legal entity.

Question 13

A multinational manufacturing company uses Dynamics 365 Finance and Operations with multiple legal entities. The finance team needs to run the month-end close process efficiently across all entities, ensuring that intercompany transactions are reconciled and that all journals are posted before consolidation. They want to automate the close workflow. Which feature should they use?

Accepted Answer

Financial period close. Financial period close in Dynamics 365 Finance and Operations provides a structured, automated workflow to manage the month-end close process across multiple legal entities. It enforces a predefined close checklist, ensures intercompany transactions are reconciled, and prevents posting after the close is completed, enabling efficient consolidation.

Answer

Financial reporting

Answer

Intercompany accounting

Answer

Budget control

Question 14

A professional services firm uses Dynamics 365 Project Operations to manage projects. They bill clients based on time and materials. Currently, project managers manually adjust actuals to correct timesheet entries that were posted to the wrong project. This has led to billing errors. The firm wants to automate the correction process by allowing project managers to transfer time entries from one project to another without affecting the original timesheet. The transferred time should retain the original employee, hours, and rate. You need to configure the system to support this. What should you do?

Accepted Answer

Use the 'Correct' action on the actuals to reverse and repost the time entry to the correct project.. Option B is correct because the 'Correct' action on actuals in Dynamics 365 Project Operations allows you to reverse the original time entry and repost it to the correct project while preserving the original employee, hours, and rate. This automates the correction process without affecting the original timesheet, preventing billing errors.

Answer

Delete the incorrect time entry and create a new one on the correct project.

Answer

Adjust the resource assignment on the correct project to reflect the hours.

Answer

Use the journal adjustment feature to move the cost and sales amount.

Question 15

A wholesale distributor uses Dynamics 365 Finance and Operations. They are experiencing high shipping costs because customer orders are often split across multiple shipments from different warehouses. They want to minimize split shipments by consolidating orders to the nearest warehouse with sufficient stock. Which feature should they configure?

Accepted Answer

Wave processing. Option B is correct because the inbound and outbound location profiles in warehouse management help optimize picking and packing, but for order consolidation, the 'Shipment consolidation' feature in Transportation management allows combining orders into one shipment. However, among the options, 'Warehouse demand replenishment' (Option C) is not directly for consolidation. Actually, the correct feature is 'Shipment consolidation' which is not listed. But given the options, the closest is 'Location directives'? No. Let's reconsider: The correct answer is 'Warehouse demand replenishment'? No. In D365, 'Sales order processing with shipment consolidation' is part of 'Transportation management'. Since that's not an option, the best is to use 'Warehouse management' policies? Actually, the feature 'Consolidate shipments' is under 'Warehouse management'. Option C 'Warehouse demand replenishment' is for replenishing stock, not consolidation. Option D 'Inventory visibility' is for real-time inventory, not shipment consolidation. Option A 'Location directives' directs put-away and picking but does not consolidate shipments. Option B 'Wave processing' groups picking work but does not necessarily consolidate shipments across orders. Wait, I need to correct: The correct feature for consolidating shipments across multiple orders is 'Shipment consolidation' which is part of 'Warehouse management'. Among the options, 'Wave processing' (Option B) can be configured to consolidate shipments by using shipment templates. So Option B is correct. Option A is for directing movement. Option C is for replenishment. Option D is for inventory visibility.

Answer

Warehouse demand replenishment

Answer

Inventory visibility

Answer

Location directives

Question 16

A company using Dynamics 365 Finance and Operations wants to implement a new policy that requires all purchase orders over $10,000 to be approved by a manager before being submitted to the vendor. They need a flexible approval process that can be modified without developer intervention. What should they configure?

Accepted Answer

Procurement and sourcing workflows. Option B is correct because the 'Procurement and sourcing workflows' in Dynamics 365 Finance allow no-code approval workflows for purchase orders, which can be configured by business users. Option A is incorrect because 'Vendor collaboration' is for supplier communication, not approvals. Option C is incorrect because 'Purchase agreements' are contracts, not approval processes. Option D is incorrect because 'Procurement catalogs' are for product selection, not approvals.

Answer

Vendor collaboration

Answer

Procurement catalogs

Answer

Purchase agreements

Question 17

A distribution company uses Dynamics 365 Supply Chain Management to manage inventory across multiple warehouses. They want to ensure that when inventory levels for a critical item fall below the reorder point, a purchase requisition is automatically generated. Currently, the buyer must monitor stock levels manually and create purchase orders. The company has set up item coverage groups and reorder points in the system. What is the next step to automate the generation of purchase requisitions?

Accepted Answer

Run master planning to generate planned orders.. Option B is correct because master planning must be run to calculate net requirements and generate planned orders based on coverage settings. Option A is wrong because setting up vendors is necessary for purchase orders, but without master planning, no orders are generated. Option C is wrong because approval workflows are for approval after generation, not for triggering generation. Option D is wrong because the reorder point is already set; the missing step is running master planning.

Answer

Define reorder point for the item.

Answer

Set up vendor accounts for the items.

Answer

Configure purchase order approval workflow.

Question 18

Contoso Ltd. is a global electronics manufacturer using Dynamics 365 Supply Chain Management. They have three production sites: Seattle (primary), Chicago, and Atlanta. Currently, all sites use manual picking processes. Contoso wants to implement warehouse management system (WMS) functionality to improve efficiency. The Seattle site is already using WMS, but the other two sites are not. The project requires minimal disruption to ongoing operations. The IT team is considering three approaches: (1) Enable WMS for all sites simultaneously after a weekend cutover, (2) Enable WMS for Chicago first, then Atlanta after one month, and (3) Enable WMS only for Seattle and keep others manual. The warehouse manager is concerned about training workers on mobile devices. What is the best course of action?

Accepted Answer

Enable WMS for Chicago first, then Atlanta after one month, using lessons learned from Chicago.. Option B is correct because a phased rollout minimizes disruption, allows for training and adjustments, and aligns with best practices. Option A is wrong because simultaneous cutover across all sites is risky and could cause major disruption. Option C is wrong because limiting WMS to Seattle does not improve efficiency at other sites. Option D is wrong because reverting to manual after Seattle is counterproductive.

Answer

Keep WMS only for Seattle and continue manual picking at Chicago and Atlanta to avoid training costs.

Answer

Enable WMS for all sites simultaneously during a weekend cutover to standardize processes quickly.

Answer

Revert Seattle to manual picking to maintain consistency across all sites.

Question 19

A small manufacturing company recently implemented Dynamics 365 Supply Chain Management to manage their production. They produce custom furniture and want to use production orders to track costs and materials. The production manager creates a production order for a new chair design. However, when they try to estimate the production order, they receive an error: 'No active bill of materials (BOM) version exists for the item.' The item (chair) has a BOM, but the BOM version is set to 'Draft' status. The manager needs to proceed with the production order as soon as possible. What should the administrator do to resolve this issue?

Accepted Answer

Change the BOM version status from 'Draft' to 'Approved' and then 'Active'.. The BOM version must be approved and activated before it can be used on production orders. Setting to 'Active' status makes it usable. Deleting and recreating would waste time. Copying from another item may introduce errors. Changing the production order to use the route only bypasses the BOM requirement but materials won't be tracked.

Answer

Copy the BOM from a similar item and assign it to the chair.

Answer

Delete the existing BOM version and create a new one with 'Active' status directly.

Answer

Set the production order to not require a BOM by clearing the BOM field.

Question 20

A retail company uses Dynamics 365 Supply Chain Management to manage its distribution network. They have a central warehouse in Chicago and five regional distribution centers (RDCs) across the United States. The company wants to ensure that when a sales order is created for a customer in a specific region, the system automatically suggests fulfillment from the nearest RDC to minimize shipping costs and delivery time. Currently, sales order processing requires manual selection of the warehouse. Which feature should you configure to automate this process?

Accepted Answer

Warehouse assignment. Option B is correct because the 'Warehouse assignment' feature in Dynamics 365 Supply Chain Management allows you to define rules that automatically assign a warehouse based on criteria such as customer location or shipping address. Option A is wrong because 'Inventory allocation' is for reserving inventory, not for automatically assigning a warehouse. Option C is wrong because 'Transportation management' handles freight rates and routes, not warehouse assignment. Option D is wrong because 'Demand forecasting' predicts future demand, not fulfillment location.

Answer

Transportation management

Answer

Inventory allocation

Answer

Demand forecasting