MB-920 Describe the core capabilities of the finance and operations apps Practice Test 10 — 15 Questions

Question 1

A manufacturing company uses Dynamics 365 Finance and Operations. They want to automate the generation of purchase orders based on inventory levels falling below a reorder point. Which feature should they configure?

Accepted Answer

Safety stock and reorder point planning. Option B is correct because the 'Safety stock and reorder point planning' feature in Dynamics 365 Finance and Operations uses item coverage settings to automatically generate planned purchase orders when projected inventory falls below the defined reorder point. This is part of master planning, which calculates replenishment proposals based on inventory levels, lead times, and demand forecasts.

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Inventory closing and adjustment

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Inventory cycle counting

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Purchase requisition workflow

Question 2

A company uses Dynamics 365 Finance and Operations for financial management. They need to ensure that all vendor invoices are approved before payment. Which module should they use?

Accepted Answer

Accounts payable. The Accounts payable module in Dynamics 365 Finance and Operations is specifically designed to manage vendor invoices, purchase orders, and payment approvals. It includes invoice matching, approval workflows, and payment holds to ensure invoices are validated and approved before payment is processed.

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Accounts receivable

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General ledger

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Budgeting

Question 3

A retail company uses Dynamics 365 Commerce integrated with Finance and Operations. They want to synchronize real-time inventory data between the online store and the back office. Which capability should they enable?

Accepted Answer

Retail Server and Channel Data Distribution. Option C is correct because Retail Server and Channel Data Distribution is the Dynamics 365 Commerce component designed to synchronize real-time inventory data between the online store and the back office. It uses a push-based mechanism to distribute master data and transactional data from the headquarters to channel databases, ensuring that inventory levels are updated promptly for e-commerce operations.

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Commerce Data Exchange: Async Service

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Commerce Data Exchange: Synch Service

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Commerce Data Exchange: Real-time Service

Question 4

A company uses Dynamics 365 Finance and Operations. They need to set up financial dimensions for cost centers and departments. Which TWO statements about financial dimensions are correct?

Accepted Answer

Financial dimensions are linked to main accounts.. Financial dimensions are linked to main accounts to provide additional segmentation and analytical capabilities in Dynamics 365 Finance and Operations. This linkage allows transactions to be tracked and reported across multiple dimensions, such as cost centers and departments, enabling detailed financial analysis and compliance.

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Financial dimensions are automatically derived from vendor master.

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Financial dimensions are used only in the chart of accounts.

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Financial dimensions cannot be used with advanced rules.

Question 5

A company uses Dynamics 365 Supply Chain Management. They want to implement warehouse management with advanced wave processing. Which THREE components are required for wave processing?

Accepted Answer

Work template. Work templates are required for wave processing because they define the sequence of warehouse work that must be performed, such as picking and staging, when a wave is released. Without a work template, the system cannot generate the actual work lines for warehouse workers to execute.

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Shipment template

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Load template

Question 6

A company uses Dynamics 365 Finance. They need to configure intercompany accounting. Which TWO actions are required?

Accepted Answer

Set up intercompany relationships. Option D is required because intercompany relationships must be defined in Dynamics 365 Finance to establish the legal entities that will transact with each other. This setup is the foundational step that enables the system to recognize and process transactions between related companies, such as sales orders or purchase orders, and ensures proper accounting entries are generated.

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Set up consolidation accounts

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Set up budget models

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Configure financial reporting

Question 7

Refer to the exhibit. A Dynamics 365 Finance and Operations administrator reviews a batch job configuration. The job is scheduled to run daily. What is the purpose of this batch job?

Accepted Answer

Post recurring invoices automatically. The batch job configuration shown is for the 'Recurring invoices' process in Dynamics 365 Finance and Operations. When a batch job is set to run daily with the action 'Post,' its purpose is to automatically post recurring invoices that have been previously set up in the recurring invoice template. This automates the posting step, eliminating the need for manual intervention each period.

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Generate recurring invoices

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Send invoice payment reminders

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Print recurring invoices

Question 8

Refer to the exhibit. An administrator runs a PowerShell script to list resources in an Azure resource group. The script returns no results. What is the most likely reason?

Accepted Answer

The resource type is incorrect.. The Get-AzResource cmdlet filters resources by type using the -ResourceType parameter. If the specified resource type does not match any resources in the resource group, the cmdlet returns no results. This is the most likely reason because the script explicitly targets a resource type that may not exist in the group, while the resource group itself exists and the user has permissions.

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The resource group does not exist.

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The user does not have read permissions.

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The Get-AzResource cmdlet is not available.

Question 9

Refer to the exhibit. A developer creates a data entity query to export invoice data. What will the query return?

Accepted Answer

Invoices with an amount greater than 10,000. The correct answer is D: Invoices with an amount greater than 10,000. The filter 'InvoiceAmount' operator 'gt' value '10000' filters invoices greater than 10,000. Option A is wrong because there is no date filter. Option B is wrong because the filter is on amount, not invoice ID. Option C is wrong because the filter is greater than, not less than.

Answer

Invoices with an amount less than 10,000

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Invoices with InvoiceId greater than 10000

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All invoices due after today

Question 10

A company uses Dynamics 365 Supply Chain Management with advanced warehouse management. They notice that during wave processing, pick work is not being created for some sales orders. What should they check first?

Accepted Answer

Wave template and its criteria. Wave templates define the criteria and actions for processing waves, including the creation of pick work. If pick work is not being generated for certain sales orders, the wave template's query filters (e.g., shipping method, warehouse, or item criteria) may be excluding those orders. Checking the wave template and its criteria is the first logical step because it directly controls which orders are processed and how work is created.

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Release to warehouse status

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Reservation hierarchy

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Inventory status of the items

Question 11

A company uses Dynamics 365 Finance. They need to create a new fiscal year and close the previous year. Which module should they use?

Accepted Answer

General ledger. The General ledger module is the correct choice because fiscal year creation and year-end closing are core General ledger processes. In Dynamics 365 Finance, the General ledger module contains the fiscal calendar setup and the year-end close process, which transfers balances from the closing fiscal year to the new fiscal year's opening balances.

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Budgeting

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Accounts payable

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Accounts receivable

Question 12

A company uses Dynamics 365 Commerce. They want to offer a promotion: 'Buy one, get one free' for specific products. Which pricing engine capability should they use?

Accepted Answer

Mix and match discounts. The 'Buy one, get one free' promotion is a classic mix and match scenario where a specific combination of products (e.g., two items from a defined set) triggers a discount. In Dynamics 365 Commerce, the Mix and match discount engine is designed to handle such promotional offers by defining a set of products and the required quantity to qualify for a discount, including free items. This capability allows the system to automatically apply the discount at the point of sale when the correct product combination is scanned.

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Quantity discount

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Periodic discount

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Total discount

Question 13

A company uses Dynamics 365 Human Resources. They need to track employee training and certifications. Which module should they use?

Accepted Answer

Learning management. The Learning management module in Dynamics 365 Human Resources is specifically designed to track employee training, certifications, and skill development. It allows administrators to define courses, assign them to employees, record completion, and manage expiration dates for certifications, directly meeting the requirement.

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Benefits management

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Organization administration

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Leave and absence

Question 14

A company uses Dynamics 365 Project Operations. They need to track project costs and revenue. Which THREE components are essential?

Accepted Answer

Time and expense entry. Time and expense entry (B) is essential because Dynamics 365 Project Operations captures actual labor hours and material costs through time sheets and expense reports, which directly feed into project cost and revenue calculations. Without this component, the system cannot track the consumption of resources against project budgets or generate accurate billing data.

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Resource management

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Fixed asset management

Question 15

A company uses Dynamics 365 Supply Chain Management. They want to implement vendor collaboration to allow vendors to view purchase orders and confirm delivery dates. Which feature should they enable?

Accepted Answer

Vendor portal. The correct answer is C: Vendor portal. The vendor portal allows vendors to view and respond to purchase orders. Option A is wrong because it's for bidding. Option B is wrong because it's for internal procurement. Option D is wrong because it's for invoicing.

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Vendor invoice automation

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Vendor bidding

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Procurement and sourcing