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← Describe Dynamics 365 Supply Chain Management practice sets

MB-920 Describe Dynamics 365 Supply Chain Management • Complete Question Bank

MB-920 Describe Dynamics 365 Supply Chain Management — All Questions With Answers

Complete MB-920 Describe Dynamics 365 Supply Chain Management question bank — all 0 questions with answers and detailed explanations.

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Certifications/MB-920/Practice Test/Describe Dynamics 365 Supply Chain Management/All Questions
Question 1mediummultiple choice
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A manufacturing company is experiencing stockouts of a critical raw material despite maintaining high inventory levels. The procurement team places purchase orders based on historical usage, but demand has become erratic. Which action should the supply chain manager take to improve material availability without increasing inventory costs?

Question 2hardmultiple choice
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A distribution company uses Dynamics 365 Supply Chain Management to manage its warehouse operations. The warehouse manager reports that during peak hours, order picking is slow because pickers frequently travel long distances to retrieve items. The warehouse layout is fixed. Which feature should the company use to optimize picking routes without changing the physical layout?

Question 3easymultiple choice
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A company uses Dynamics 365 Supply Chain Management to manage production orders. A production planner needs to schedule a rush order for a high-priority customer. The planner wants to see the impact on existing orders before committing. Which feature should the planner use?

Question 4mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management to manage its supply chain. The procurement manager notices that purchase requisitions are not being converted to purchase orders automatically as expected. The workflow for purchase requisitions is set to auto-approve for amounts under $1,000. Upon investigation, the manager finds that a requisition for $950 is stuck in 'Draft' status. What is the most likely cause?

Question 5hardmulti select
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A company uses Dynamics 365 Supply Chain Management for warehouse operations. The warehouse manager wants to improve inventory accuracy and reduce the time spent on physical inventory counts. Which TWO actions should the manager take?

Question 6hardmulti select
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A manufacturing company uses Dynamics 365 Supply Chain Management. The production manager wants to reduce setup time on a bottleneck machine. Which THREE actions should the manager take?

Question 7hardmultiple choice
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Refer to the exhibit. A batch job for inventory closing failed. The error indicates open inventory transactions for item A-100. What should the supply chain analyst do to resolve the issue and allow inventory closing to complete?

Exhibit

Refer to the exhibit.

```xml
<BatchJob>
  <Name>Inventory Closing</Name>
  <Status>Ended</Status>
  <StartDateTime>2025-02-15T22:00:00Z</StartDateTime>
  <EndDateTime>2025-02-16T04:30:00Z</EndDateTime>
  <RunBy>Admin</RunBy>
  <Recurrence>
    <Days>Every day</Days>
    <Time>22:00:00</Time>
  </Recurrence>
  <Log>
    <Message>Error: Inventory closing could not be completed because there are open inventory transactions for item A-100.</Message>
  </Log>
</BatchJob>
```
Question 8hardmultiple choice
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Contoso, Ltd. is a manufacturer of custom machinery. They use Dynamics 365 Supply Chain Management with production orders and subcontracting. A production order for a custom drilling machine requires a specialized heat treatment process that is performed by an external vendor. The heat treatment is set up as a route operation with a resource of type 'Vendor' and a subcontracting purchase agreement. The production order has been released and started, but the vendor reports that they have not received the purchase order for the heat treatment service. The production planner checks the purchase order and finds that it has not been created yet. The planner confirms that the purchase agreement is active and covers the required service. What is the most likely reason that the purchase order was not automatically generated?

Question 9mediummulti select
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A manufacturing company uses Dynamics 365 Supply Chain Management. They want to improve inventory accuracy and reduce stockouts. Which TWO actions should they take?

Question 10hardmultiple choice
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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?

Question 11mediumdrag order
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Drag and drop the steps to configure a sales order in Dynamics 365 Supply Chain Management in the correct order.

Drag steps to the numbered slots on the right, or tap a step then tap a slot.

Steps
Order
1Step 1
2Step 2
3Step 3
4Step 4
5Step 5
Question 12mediumdrag order
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Drag and drop the steps to configure a new inventory item in Dynamics 365 Supply Chain Management in the correct order.

Drag steps to the numbered slots on the right, or tap a step then tap a slot.

Steps
Order
1Step 1
2Step 2
3Step 3
4Step 4
5Step 5
Question 13mediummatching
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Match each Dynamics 365 Supply Chain Management concept to its description.

Drag a concept onto its matching description — or click a concept then click the description.

Concepts
Matches

List of components needed to produce an item

Sequence of operations in production

Visual signal for just-in-time production

Control inventory movement and storage

Forecast customer demand to optimize inventory

Question 14mediummatching
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Match each Dynamics 365 Project Operations pricing method to its description.

Drag a concept onto its matching description — or click a concept then click the description.

Concepts
Matches

Customer pays a predetermined total amount

Customer pays based on actual time and costs

Customer pays cost plus a markup

Customer pays a recurring fixed fee

Invoices triggered by project milestones

Question 15mediummultiple choice
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A manufacturing company is implementing Dynamics 365 Supply Chain Management. They need to track raw material consumption and finished goods output in real time. Which module should they configure to achieve this?

Question 16hardmultiple choice
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A distribution company uses Dynamics 365 Supply Chain Management. They notice that warehouse workers are scanning incorrect items during picking, leading to shipment errors. Which feature should they implement to reduce errors?

Question 17easymultiple choice
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A company wants to automate the replenishment of raw materials to production lines based on actual consumption. Which capability in Dynamics 365 Supply Chain Management should they use?

Question 18mediummultiple choice
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A retailer uses Dynamics 365 Supply Chain Management to manage inventory across multiple stores. They need to ensure that store managers can only see inventory for their own store. What configuration should they use?

Question 19hardmultiple choice
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A manufacturer uses Dynamics 365 Supply Chain Management and wants to implement a vendor-managed inventory (VMI) process where suppliers monitor stock levels and trigger replenishment. Which feature should they enable?

Question 20easymultiple choice
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A company needs to calculate the cost of manufactured products including direct materials, labor, and overhead. Which costing methodology in Dynamics 365 Supply Chain Management should they use?

Question 21mediummultiple choice
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A warehouse manager notices that picking routes are inefficient, causing delays. They want to optimize the travel path for pickers. Which Dynamics 365 Supply Chain Management feature should they use?

Question 22hardmultiple choice
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A company that produces perishable goods needs to enforce strict lot control and first-expiry-first-out (FEFO) picking. Which configuration in Dynamics 365 Supply Chain Management is essential?

Question 23easymultiple choice
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A company wants to use AI to predict potential stockouts and suggest replenishment actions. Which Dynamics 365 Supply Chain Management capability should they leverage?

Question 24mediummulti select
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Which TWO features in Dynamics 365 Supply Chain Management help reduce inventory carrying costs?

Question 25hardmulti select
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Which THREE are key capabilities of Dynamics 365 Supply Chain Management's warehouse management module?

Question 26easymulti select
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Which TWO are examples of production order statuses in Dynamics 365 Supply Chain Management?

Question 27hardmultiple choice
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A warehouse manager queries the on-hand inventory for item L0101 and receives the JSON output above. Currently, how many units of item L0101 are available to be picked for new orders?

Exhibit

Refer to the exhibit.

{
  "dataAreaId": "USMF",
  "itemNumber": "L0101",
  "siteId": "1",
  "locationId": "BULK-001",
  "inventoryStatusId": "Available",
  "licensePlateId": "LP001234",
  "actualPhysicalQuantity": 500,
  "reservedPhysicalQuantity": 200
}
Question 28mediummultiple choice
Review the full routing breakdown →

A production planner reviews a route operation for a manufacturing order. How long, in hours, is the total processing time for this operation?

Exhibit

Refer to the exhibit.

{
  "routeId": "ROUTE-MFG-001",
  "operationNumber": "10",
  "operationDescription": "Cutting",
  "resourceId": "SAW-01",
  "resourceGroupId": "METAL_SHOP",
  "runTimeHours": 0.5,
  "setupTimeHours": 0.25
}
Question 29easymultiple choice
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A procurement manager reviews a purchase order. How many units of item M-100 are still due to be received?

Exhibit

Refer to the exhibit.

{
  "purchaseOrderNumber": "PO-000123",
  "vendorAccount": "VEN-001",
  "orderStatus": "Confirmed",
  "lineItems": [
    {
      "itemNumber": "M-100",
      "quantity": 100,
      "receivedQuantity": 50,
      "unitPrice": 10.00
    }
  ]
}
Question 30mediummultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management. The warehouse manager notices that a critical raw material is frequently out of stock, causing production delays. The planner wants to ensure that the material is reordered before stock hits zero. Which inventory planning feature should be configured to automatically generate replenishment orders based on forecasted demand and current inventory levels?

Question 31easymultiple choice
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A distribution company uses Dynamics 365 Supply Chain Management. They want to improve picking efficiency in the warehouse by grouping multiple orders into a single pick run. Which warehouse process should they configure?

Question 32hardmultiple choice
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A company using Dynamics 365 Supply Chain Management is experiencing delays in order fulfillment because the picking process is not optimized. The warehouse manager wants to implement a system that directs pickers to the most efficient route based on current warehouse layout. Which feature should be configured to achieve this?

Question 33mediummultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management. They want to implement a Copilot feature that helps procurement agents draft purchase order lines using natural language. Which feature should they enable?

Question 34hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management. They are setting up a new warehouse and want to ensure that items are stored in locations based on their physical dimensions and turnover rate. Which configuration should they use to define storage strategies?

Question 35easymultiple choice
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A company uses Dynamics 365 Supply Chain Management. They need to track a batch of raw material from receipt to finished goods shipment for quality compliance. Which supply chain process should they use?

Question 36mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management. They want to use AI to predict when a critical machine is likely to fail so that maintenance can be scheduled proactively. Which module should they configure?

Question 37hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management. They have multiple vendors supplying the same raw material. The procurement manager wants to automatically allocate purchase orders to the vendor with the best combination of price, lead time, and quality rating. Which feature should they use?

Question 38easymultiple choice
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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?

Question 39mediummulti select
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A company uses Dynamics 365 Supply Chain Management. Which TWO features are used to manage the quality of incoming materials?

Question 40hardmulti select
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A manufacturing company uses Dynamics 365 Supply Chain Management. Which THREE components are required to set up a production process for a discrete manufacturing scenario?

Question 41easymulti select
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A distribution company uses Dynamics 365 Supply Chain Management. Which TWO methods can be used to reduce the time taken to receive inbound shipments?

Question 42hardmultiple choice
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Refer to the exhibit. A warehouse manager runs the on-hand inventory report for item P-1000 in warehouse WH01. The report shows zero on-hand quantity but the inventory status is 'Available'. The manager knows that there should be 500 units in stock based on a recent purchase order receipt. What is the most likely cause of this discrepancy?

Exhibit

{
  "ItemNumber": "P-1000",
  "Warehouse": "WH01",
  "Location": "BULK-01",
  "OnHandQuantity": 0,
  "ReservedQuantity": 0,
  "AvailableQuantity": 0,
  "InventoryStatus": "Available"
}
Question 43mediummultiple choice
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Refer to the exhibit. A production scheduler reviews a scheduled production order. Operation 10 on CNC-MACHINE is scheduled from 8:00 to 11:00, and Operation 20 on ASSEMBLY-LINE starts at 11:30. The scheduler notices that operation 20 starts 30 minutes after operation 10 ends. What is the most likely reason for this gap?

Exhibit

{
  "ProductionOrderId": "PO-2024-001",
  "ItemNumber": "F-2000",
  "ScheduledStartDate": "2024-10-01",
  "ScheduledEndDate": "2024-10-05",
  "Quantity": 100,
  "Status": "Scheduled",
  "RouteId": "ROUTE-01",
  "Operations": [
    {
      "OperationNumber": 10,
      "ResourceId": "CNC-MACHINE",
      "SetupTimeHours": 1,
      "RunTimeHours": 2,
      "ScheduledStart": "2024-10-01 08:00",
      "ScheduledEnd": "2024-10-01 11:00"
    },
    {
      "OperationNumber": 20,
      "ResourceId": "ASSEMBLY-LINE",
      "SetupTimeHours": 0.5,
      "RunTimeHours": 3,
      "ScheduledStart": "2024-10-01 11:30",
      "ScheduledEnd": "2024-10-01 15:00"
    }
  ]
}
Question 44easymultiple choice
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Refer to the exhibit. A sales representative tries to confirm a sales order for 50 units of item L-5000, but the system does not allow confirmation because the available quantity is only 40. The reservation method is set to Manual. What should the sales representative do to proceed with the order?

Exhibit

{
  "SalesOrderId": "SO-2024-1001",
  "Customer": "Contoso Ltd.",
  "ItemNumber": "L-5000",
  "Quantity": 50,
  "Warehouse": "WH02",
  "ReservationMethod": "Manual",
  "OnHandQuantity": 40,
  "AvailableQuantity": 40
}
Question 45mediummultiple choice
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A furniture manufacturer uses Dynamics 365 Supply Chain Management. They need to ensure that raw materials are replenished automatically when inventory falls below a certain level. Which feature should be configured?

Question 46hardmultiple choice
Read the full NAT/PAT explanation →

A company uses Dynamics 365 Supply Chain Management for warehouse management. They notice that picking routes are inefficient, causing delays. They want to optimize picking paths automatically. Which feature should they implement?

Question 47easymultiple choice
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A retail company wants to track the cost of goods sold using a method that assumes the most recently purchased items are sold first. Which costing method should they configure?

Question 48mediummultiple choice
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A manufacturer needs to define the sequence of operations and work centers for producing a finished good. Which supply chain entity should they configure?

Question 49hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to automate the creation of purchase orders based on demand from sales orders. Which feature should they use?

Question 50easymultiple choice
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A warehouse manager wants to assign workers to specific zones and track their performance. Which warehouse management feature should be used?

Question 51mediummultiple choice
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A company needs to ensure that when a sales order is created, the system automatically checks if the customer's credit limit is sufficient. If not, the order should be placed on hold. Which setup is required?

Question 52hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to integrate with an external transportation management system (TMS) to get real-time shipping rates. Which integration approach should they use?

Question 53easymultiple choice
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A production supervisor needs to see which production orders are currently running and their status. Which workspace should they use?

Question 54mediummulti select
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Which TWO features are part of Dynamics 365 Supply Chain Management's inventory management capabilities?

Question 55hardmulti select
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Which THREE are benefits of using Dynamics 365 Supply Chain Management's AI and Copilot features?

Question 56easymulti select
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Which TWO are valid warehouse management processes in Dynamics 365 Supply Chain Management?

Question 57hardmultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management. The production planner notices that a planned production order for 1,000 units of finished good FG-100 has a material shortage for component RM-200. The planner wants to automatically create purchase orders for the missing component and reschedule the production order. Which feature should be configured?

Question 58easymultiple choice
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A distributor wants to ensure that when a sales order is created, the system automatically checks if the requested item is available in the warehouse. If the item is out of stock, the system should create a purchase order for the item. Which feature in Dynamics 365 Supply Chain Management supports this?

Question 59mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to implement a quality check process for incoming raw materials. The quality inspector must receive a notification when a purchase order receipt is registered, and the system must block the inventory until the inspection is passed. Which module should be configured?

Question 60hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to improve demand forecasting by including external data such as weather patterns and economic indicators. Which feature should be used?

Question 61easymultiple choice
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A company uses Dynamics 365 Supply Chain Management and needs to track the cost of raw materials as they move through production. The company uses standard cost methodology. Which module should be used to view the cost breakdown of a finished good?

Question 62mediummultiple choice
Review the full routing breakdown →

A warehouse manager wants to optimize picking routes by grouping orders that are located in the same aisle. Which feature in Dynamics 365 Supply Chain Management should be configured?

Question 63hardmultiple choice
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A company using Dynamics 365 Supply Chain Management wants to implement vendor collaboration so that suppliers can view purchase orders and confirm delivery dates. Which feature should be set up?

Question 64easymultiple choice
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A production manager needs to see the real-time status of all production orders on the shop floor. Which workspace in Dynamics 365 Supply Chain Management should be used?

Question 65mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to automatically reorder stock when inventory falls below a defined level. Which functionality should be configured?

Question 66mediummulti select
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Which TWO modules are part of Dynamics 365 Supply Chain Management?

Question 67hardmulti select
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Which THREE capabilities are provided by the Production control module in Dynamics 365 Supply Chain Management?

Question 68easymulti select
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Which TWO are benefits of using warehouse management in Dynamics 365 Supply Chain Management?

Question 69hardmultiple choice
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A batch job for master planning is configured as shown. The job runs daily at 2 AM. The planner notices that planned orders are not being firmed automatically. What is the likely reason?

Exhibit

Refer to the exhibit.

```json
{
  "BatchJob": {
    "Id": "0001",
    "Status": "Executing",
    "Recurrence": {
      "DaysInterval": 1,
      "Time": "02:00:00"
    },
    "Tasks": [
      {
        "TaskId": "T1",
        "Description": "Master planning run",
        "Parameters": {
          "PlanningMethod": "Regeneration",
          "IncludeSafetyStock": true,
          "FirmPlannedOrders": false
        }
      }
    ]
  }
}
```
Question 70mediummultiple choice
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A warehouse configuration shows a location directive for putaway of purchase orders. When a purchase order is received, the system tries to put items into a location with the BULK profile. However, some large items are being placed in PICK locations. What could be the cause?

Exhibit

Refer to the exhibit.

```json
{
  "Warehouse": {
    "WarehouseId": "WH01",
    "LocationProfiles": [
      {
        "ProfileId": "BULK",
        "LocationType": "Bulk",
        "MaxWeight": 1000,
        "MaxVolume": 10
      },
      {
        "ProfileId": "PICK",
        "LocationType": "Picking",
        "MaxWeight": 100,
        "MaxVolume": 1
      }
    ],
    "LocationDirectives": [
      {
        "DirectiveCode": "PUT-BULK",
        "WorkOrderType": "Purchase orders",
        "Action": "Put",
        "LocationProfile": "BULK"
      }
    ]
  }
}
```
Question 71easymultiple choice
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The exhibit shows the cost breakdown for finished good FG-200. The cost of RM-300 is 20.00 per unit, and RM-400 is 50.00 per unit. What is the total calculated cost of FG-200 based on this BOM?

Exhibit

Refer to the exhibit.

```json
{
  "Costing": {
    "InventoryModel": "Standard cost",
    "CostingVersion": "2025-Q1",
    "ItemCost": {
      "ItemId": "FG-200",
      "Cost": 150.00,
      "CostingMethod": "BOM calculation",
      "BOM": [
        {"ItemId": "RM-300", "Quantity": 2, "Cost": 20.00},
        {"ItemId": "RM-400", "Quantity": 1, "Cost": 50.00}
      ]
    }
  }
}
```
Question 72mediummultiple choice
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A company implements Dynamics 365 Supply Chain Management. The warehouse manager reports that pickers often go to locations where inventory is reserved for outbound orders but not physically available. Which feature should be configured to prevent this issue?

Question 73hardmultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management. They want to use AI to forecast demand for raw materials based on historical sales and external factors like weather. Which feature should they enable?

Question 74easymultiple choice
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A distribution company uses Dynamics 365 Supply Chain Management. They need to ensure that a specific item is only sold to customers in Europe due to regulatory restrictions. What should they configure?

Question 75mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management with warehouse management. Workers are spending too much time traveling between picking locations. Which strategy should be implemented to reduce travel time?

Question 76hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to automate the generation of purchase orders when inventory falls below a certain level. Which feature should they use?

Question 77easymultiple choice
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A company uses Dynamics 365 Supply Chain Management. They need to track the carbon footprint of their products throughout the supply chain. Which module should they use?

Question 78mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management. They receive a shipment of raw materials, but the quantity received is less than the purchase order. They want to update inventory with the actual received quantity and create a backorder for the remaining. What should they do?

Question 79hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management with advanced warehouse management. They notice that workers can confirm pick work even when the picked quantity is less than the expected quantity. They want to enforce that picking must be completed in full before confirmation. What should they configure?

Question 80easymultiple choice
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A company uses Dynamics 365 Supply Chain Management for production. They want to automatically create production orders when sales orders are entered for make-to-order items. Which planning method should they use?

Question 81mediummulti select
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Which TWO features in Dynamics 365 Supply Chain Management help ensure product quality during the receiving process?

Question 82hardmulti select
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Which THREE capabilities are provided by the Dynamics 365 Supply Chain Management's Copilot AI features?

Question 83easymulti select
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Which TWO of the following are valid warehouse management processes in Dynamics 365 Supply Chain Management?

Question 84mediummultiple choice
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Refer to the exhibit. A purchase order is received with a freight charge. The company wants the freight cost to be allocated to inventory value for landed cost calculations. Which configuration is required?

Exhibit

Refer to the exhibit.
```json
{
  "PurchaseOrder": {
    "PurchaseOrderNumber": "PO000123",
    "Vendor": "Vendor A",
    "Lines": [
      {
        "ItemNumber": "ITEM001",
        "Quantity": 100,
        "UnitPrice": 10.00,
        "LineAmount": 1000.00,
        "Warehouse": "WH01",
        "DeliveryDate": "2026-05-01"
      }
    ],
    "Charges": [
      {
        "ChargeCode": "FREIGHT",
        "ChargeValue": 50.00
      }
    ]
  }
}
```
Question 85hardmultiple choice
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Refer to the exhibit. A pick work template has a location profile of 'BULK'. However, workers are being directed to a location with profile 'FLOOR' instead. What is the most likely cause?

Exhibit

Refer to the exhibit.
```json
{
  "WorkTemplate": {
    "WorkTemplateCode": "PICK-001",
    "WorkPoolID": "POOL1",
    "Priority": 10,
    "WorkType": "Pick",
    "WorkLines": [
      {
        "LineNumber": 1,
        "WorkClassID": "Picking",
        "Location": {
          "LocationProfile": "BULK",
          "ZoneID": "ZONE1"
        },
        "Item": {
          "ItemNumber": "ITEM002",
          "Quantity": 50
        }
      }
    ]
  }
}
```
Question 86easymultiple choice
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Refer to the exhibit. A production order is in 'Estimated' status. The production scheduler needs to generate material requirements for the order. What should they do next?

Exhibit

Refer to the exhibit.
```json
{
  "ProductionOrder": {
    "ProductionOrderNumber": "PR000456",
    "ItemNumber": "FINISHED-GOOD",
    "Quantity": 100,
    "BOMVersion": "BOM-001",
    "RouteVersion": "ROUTE-001",
    "Status": "Estimated",
    "StartDate": "2026-04-10",
    "EndDate": "2026-04-15"
  }
}
```
Question 87mediummultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management. The production manager notices that raw material inventory levels often drop below safety stock, causing production delays. Which feature should be configured to automatically generate purchase orders when inventory falls below the reorder point?

Question 88hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management with lot-controlled items. The quality team needs to trace all finished goods that used a specific raw material lot due to a supplier defect. Which feature provides full traceability from raw material to finished product?

Question 89easymultiple choice
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A distribution company uses Dynamics 365 Supply Chain Management. They want to optimize warehouse picking routes to reduce travel time. Which module should they configure?

Question 90hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management with advanced warehouse management. They need to enforce strict FIFO (first in, first out) picking for perishable goods. Which configuration ensures that the oldest inventory is picked first?

Question 91mediummultiple choice
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A manufacturer uses Dynamics 365 Supply Chain Management. The production scheduler needs to see real-time capacity load on work centers to avoid overloading. Which workspace or tool should they use?

Question 92easymultiple choice
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A company uses Dynamics 365 Supply Chain Management. They want to automate the creation of purchase orders when inventory for a specific item drops below a predefined level. Which parameter should be set on the item?

Question 93hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management with lot-controlled items. The quality team needs to block a specific lot from being used in production or sales until testing is complete. Which action should they take?

Question 94mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management. The warehouse manager wants to use barcode scanning for receiving and shipping. Which feature should be configured?

Question 95easymultiple choice
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A company uses Dynamics 365 Supply Chain Management. They need to track the cost of raw materials and finished goods accurately for financial reporting. Which module should they use?

Question 96mediummulti select
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Which TWO features are part of Dynamics 365 Supply Chain Management's warehouse management capabilities?

Question 97hardmulti select
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Which THREE components are essential for setting up a production process in Dynamics 365 Supply Chain Management?

Question 98easymulti select
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Which TWO planning methods are available in Dynamics 365 Supply Chain Management's master planning?

Question 99hardmultiple choice
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You are configuring master planning for item A0001 in Dynamics 365 Supply Chain Management. The exhibit shows a coverage group configuration. Based on the exhibit, what is the expected behavior when the on-hand quantity drops to 400 units?

Exhibit

Refer to the exhibit.

{
  "PlanId": "Plan1",
  "ItemNumber": "A0001",
  "Action": "CoverageGroup",
  "CoverageGroup": "FIFO",
  "Period": 30,
  "SafetyStock": 100,
  "ReorderingPolicy": "MinMax",
  "MinimumQuantity": 500,
  "MaximumQuantity": 2000
}
Question 100mediummultiple choice
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You are reviewing a work template configuration in Dynamics 365 Supply Chain Management. Based on the exhibit, what will this work template do?

Exhibit

Refer to the exhibit.

{
  "WorkTemplate": "Picking",
  "WorkOrderType": "Sales orders",
  "WorkPriority": 10,
  "WorkPoolId": "Default",
  "WorkLines": [
    {
      "LineClass": "Sales",
      "WorkLineType": "Pick",
      "InventoryLocation": "BULK-01",
      "WorkTemplateQuery": "Warehouse = 'WH1'"
    }
  ]
}
Question 101easymultiple choice
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You are configuring a reservation hierarchy for a warehouse in Dynamics 365 Supply Chain Management. Based on the exhibit, what is the primary criterion for picking inventory?

Exhibit

Refer to the exhibit.

{
  "ReservationHierarchy": "FIFO",
  "Sequence": [
    {
      "Dimension": "Location",
      "Priority": 1
    },
    {
      "Dimension": "Lot number",
      "Priority": 2
    },
    {
      "Dimension": "Expiration date",
      "Priority": 3
    }
  ]
}
Question 102mediummultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management. They notice that the production schedule is not reflecting real-time capacity constraints, causing delays. Which feature should they configure to dynamically adjust schedules based on current resource availability?

Question 103easymultiple choice
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A company uses Dynamics 365 Supply Chain Management to manage inventory across multiple warehouses. They want to ensure that high-value items are stored in the most secure locations. What feature should they use to define storage restrictions based on item value?

Question 104hardmultiple choice
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A distribution company is implementing Dynamics 365 Supply Chain Management and wants to optimize transportation costs. They have contracts with multiple carriers offering different rates based on weight, distance, and delivery speed. Which module should they use to automatically select the most cost-effective carrier for each shipment?

Question 105mediummultiple choice
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A manufacturer uses Dynamics 365 Supply Chain Management and wants to implement a quality control process where incoming raw materials are inspected before being accepted into inventory. Which feature should they use to enforce that inspection?

Question 106easymultiple choice
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A company uses Dynamics 365 Supply Chain Management to manage its supply chain. They need to forecast demand for the next quarter to plan procurement and production. Which module should they use for demand forecasting?

Question 107hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to automate the replenishment of items from a central warehouse to regional distribution centers based on real-time sales data. Which concept should they use?

Question 108mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to track the entire lifecycle of a product from raw material to finished good, including all transformations and movements. Which feature should they enable?

Question 109easymultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to use AI to optimize inventory levels by predicting stockouts and suggesting reorder quantities. Which Copilot feature should they use?

Question 110hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management and experiences delays in order fulfillment because pickers cannot find items in the warehouse. The warehouse uses a random storage strategy. What is the best way to improve picking efficiency without rearranging the entire warehouse?

Question 111mediummulti select
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Which TWO of the following are capabilities of Dynamics 365 Supply Chain Management?

Question 112hardmulti select
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Which THREE of the following are valid warehouse management processes in Dynamics 365 Supply Chain Management?

Question 113mediummulti select
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Which TWO of the following are types of production orders in Dynamics 365 Supply Chain Management?

Question 114hardmultiple choice
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A company configured the warehouse management parameters as shown in the exhibit. What is the purpose of this configuration?

Exhibit

Refer to the exhibit.

{
  "WarehouseManagementParameters": {
    "UseLocationDirectives": true,
    "LocationDirectiveStrategy": "WaveBased",
    "WaveStepCode": "0001",
    "WaveStepType": "Replenishment",
    "ReplenishmentMinQty": 10,
    "ReplenishmentMaxQty": 100
  }
}
Question 115mediummultiple choice
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A company uses the master plan configuration shown in the exhibit. What is the effect of setting IncludeDemandForecast to true?

Exhibit

Refer to the exhibit.

{
  "MasterPlan": {
    "PlanId": "Plan01",
    "CoverageGroup": "CG_High",
    "IncludeInventoryOnHand": true,
    "IncludeDemandForecast": true,
    "TimeFenceInDays": 90
  }
}
Question 116hardmultiple choice
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A product is configured as shown in the exhibit. Which statement about the product is correct?

Exhibit

Refer to the exhibit.

{
  "ProductInformationManagement": {
    "ProductLifecycleState": "Active",
    "DefaultReceivingSite": "WH1",
    "StorageDimensionGroup": "SiteWarehouse",
    "TrackingDimensionGroup": "BatchNumber",
    "VariantConfigurationTechnology": "ConstraintBased"
  }
}
Question 117mediummultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management. The production manager reports that the system is not automatically reserving raw materials when a production order is released. What should you check first?

Question 118hardmultiple choice
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A distribution company uses Dynamics 365 Supply Chain Management. They want to use the Master Planning module to generate supply plans that consider both demand and supply across multiple warehouses. However, the plan is only generating for a single site. What is the most likely cause?

Question 119easymultiple choice
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A warehouse supervisor uses the Dynamics 365 Warehouse Management mobile app to process a purchase order receipt. When scanning a license plate, the app displays 'License plate is not active'. What is the most likely cause?

Question 120mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management with the Quality Management module. They want to automatically generate quality orders for incoming raw materials based on specific criteria like vendor and item. Which feature should they configure?

Question 121hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management with the Asset Management module. They need to create a maintenance plan that generates work orders based on meter readings (e.g., after every 100 operating hours). Which schedule type should they use?

Question 122easymultiple choice
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A company uses Dynamics 365 Supply Chain Management. They want to use the product configurator to allow salespeople to configure a product's options (e.g., color, size) based on rules. What should they create?

Question 123mediummultiple choice
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A logistics company uses Dynamics 365 Supply Chain Management to manage transportation. They need to calculate freight charges automatically based on carrier rates and shipment details. Which module should they use?

Question 124hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management with the Process Manufacturing module. They produce a batch of paint and need to adjust the recipe based on the actual concentration of a raw material. What should they use?

Question 125easymultiple choice
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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?

Question 126mediummulti select
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A company uses Dynamics 365 Supply Chain Management. They are implementing demand-driven material requirements planning (DDMRP). Which TWO elements are part of the DDMRP methodology?

Question 127hardmulti select
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A company uses Dynamics 365 Supply Chain Management with the Warehouse Management module. They need to configure wave processing to automatically create work for outbound shipments. Which THREE components are required for wave processing?

Question 128easymulti select
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A company uses Dynamics 365 Supply Chain Management. They want to use the Landed Cost module to manage the total cost of imported goods. Which TWO cost types can be tracked using Landed Cost?

Question 129hardmultiple choice
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You are analyzing a master plan configuration. The company complains that the plan does not consider material availability when scheduling production orders. Which setting in the exhibit is causing this?

Exhibit

Refer to the exhibit.

{
  "PlanId": "Plan1",
  "Scope": {
    "Site": "Site1",
    "IncludeWarehouses": ["WH1", "WH2"]
  },
  "SchedulingMethod": "Operations scheduling",
  "FiniteCapacity": true,
  "FiniteMaterial": false
}
Question 130mediummultiple choice
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You are reviewing a Power BI report that shows quality order counts by status. The report shows 0 for 'Open' status even though there are open quality orders. What is the most likely reason?

Exhibit

Refer to the exhibit.

```
// KQL query for Power BI
// Count of quality orders by status
QualityOrders
| where CreationDate >= ago(30d)
| summarize Count = count() by Status
| order by Count desc
```
Question 131easymultiple choice
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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?

Exhibit

Refer to the exhibit.

```
// Configuration for a landed cost voyage
{
  "VoyageId": "V001",
  "Vessel": "MV Container",
  "EstimatedStartDate": "2026-03-01",
  "PortOfLoading": "Shanghai",
  "PortOfDischarge": "Rotterdam",
  "Costs": [
    {"CostType": "Freight", "Amount": 5000},
    {"CostType": "Insurance", "Amount": 1200}
  ],
  "GoodsInTransitOrder": "GIT-001"
}```
Question 132mediummultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management. They need to reduce inventory holding costs by optimizing reorder points. Which feature should they use?

Question 133easymultiple choice
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A company wants to track products throughout the supply chain using unique identifiers. Which configuration should they enable?

Question 134hardmultiple choice
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A distribution company uses Dynamics 365 Supply Chain Management. They notice that transportation costs are high across multiple carriers. Which module should they configure to optimize carrier selection and route planning?

Question 135mediummultiple choice
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A food manufacturer uses Dynamics 365 Supply Chain Management. They need to ensure that raw materials are only used if they pass quality inspections. Which process should they implement?

Question 136easymultiple choice
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A company wants to use Dynamics 365 Supply Chain Management to manage supplier collaboration for purchase orders. Which portal should they enable?

Question 137hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management. They need to calculate a costed bill of materials (BOM) that includes manufacturing overhead. Which costing method should they use?

Question 138mediummultiple choice
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A warehouse receives a shipment and needs to put items away based on their velocity (fast-movers near shipping). Which warehouse strategy should they configure?

Question 139easymultiple choice
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A company wants to use Dynamics 365 Supply Chain Management to manage maintenance of production equipment. Which module should they use?

Question 140hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management. They need to support a make-to-order scenario where each order has unique engineering specifications. Which configuration should they use?

Question 141mediummulti select
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Which TWO modules are part of Dynamics 365 Supply Chain Management for warehouse operations?

Question 142mediummulti select
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Which THREE are features of Dynamics 365 Supply Chain Management for quality control?

Question 143hardmulti select
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Which TWO are valid planning methods in Master Planning for Dynamics 365 Supply Chain Management?

Question 144hardmultiple choice
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A company uses Transportation Management. The exhibit shows a rate configuration for a carrier. If a shipment weighs 8 kg, what is the total freight cost?

Exhibit

Refer to the exhibit.

{
  "DeliveryModeCode": "AIR",
  "CarrierCode": "FEDEX",
  "ServiceCode": "PRIORITY_OVERNIGHT",
  "RateBase": 25.00,
  "RatePerKg": 2.50,
  "MinimumCharge": 10.00
}
Question 145mediummultiple choice
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A warehouse uses Warehouse Management. The exhibit shows an inventory record. Which process would update the location for this license plate?

Exhibit

Refer to the exhibit.

{
  "ItemId": "LAPTOP-001",
  "SiteId": "1",
  "WarehouseId": "WH-MAIN",
  "LocationId": "BULK-01",
  "LicensePlateId": "LP1001",
  "Quantity": 50,
  "Unit": "EA"
}
Question 146easymultiple choice
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A company uses Master Planning. The exhibit shows a plan configuration. What is the effect of setting UseForecast to 'Yes'?

Exhibit

Refer to the exhibit.

<MasterPlan>
  <PlanId>MP-001</PlanId>
  <PlanName>Daily Replenishment</PlanName>
  <CoverageGroup>CG-FAST</CoverageGroup>
  <TimeFenceDays>30</TimeFenceDays>
  <UseForecast>Yes</UseForecast>
</MasterPlan>
Question 147easymultiple choice
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A company uses Dynamics 365 Supply Chain Management to manage its warehouse operations. The warehouse manager wants to ensure that items are stored in specific locations based on their storage dimensions, such as 'HighVolume' and 'LowTurnover'. Which feature should be configured to automatically guide putaway operations?

Question 148easymultiple choice
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A manufacturer uses Dynamics 365 Supply Chain Management to manage production orders. They want to ensure that raw materials are automatically reserved and picked when a production order is released. Which parameter should be set on the production order or in the system?

Question 149mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management to manage its supply chain. They notice that purchase order prices are not being updated correctly when vendors change prices in the vendor portal. What should they configure to automatically update purchase order prices based on vendor price changes?

Question 150mediummultiple choice
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A logistics company uses Dynamics 365 Supply Chain Management to manage transportation. They want to use the built-in route planning to optimize delivery routes. Which module should they primarily use?

Question 151hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management with advanced warehouse management. They experience slow performance when running the 'Release to warehouse' batch job for sales orders. The warehouse manager suspects that the location directives are inefficient. Which approach should they take to improve performance?

Question 152mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management to manage its inventory across multiple warehouses. They want to transfer items between warehouses using a transfer order. Which process should they use to physically move the inventory?

Question 153hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to implement demand-driven material requirements planning (DDMRP). Which feature should they configure to support DDMRP?

Question 154easymultiple choice
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A company uses Dynamics 365 Supply Chain Management to manage vendor collaboration. They want vendors to view and respond to purchase orders directly in the system. Which portal or workspace should they enable?

Question 155hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to automate the generation of purchase orders from sales orders through direct delivery. Which setup is required?

Question 156mediummulti select
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Which TWO features in Dynamics 365 Supply Chain Management can be used to manage inventory accuracy?

Question 157mediummulti select
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Which THREE components are part of the production control module in Dynamics 365 Supply Chain Management?

Question 158hardmulti select
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Which TWO capabilities are provided by the Warehouse management module in Dynamics 365 Supply Chain Management?

Question 159mediummultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management. They notice that the inventory valuation for a specific item is inconsistent between the financial and operational reports. The item uses FIFO costing. What could be the most likely cause of this discrepancy?

Question 160easymultiple choice
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A distribution company needs to automate the generation of purchase orders when inventory levels fall below a predefined threshold. Which feature in Dynamics 365 Supply Chain Management should be configured?

Question 161hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management with advanced warehouse management. Workers are reporting that pick lines are being created with incorrect locations, causing delays. What could be the root cause?

Question 162mediummultiple choice
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A company wants to ensure that quality inspections are performed on a random sample of incoming raw materials. Which feature should be configured in Dynamics 365 Supply Chain Management?

Question 163easymultiple choice
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A manufacturer uses Dynamics 365 Supply Chain Management's production control module. They want to record the actual labor hours spent on a production order. Which option should they use?

Question 164hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management with demand-driven material requirements planning (DDMRP). They notice that the system is not generating replenishment orders for certain items even though the stock is below the reorder point. What could be the issue?

Question 165mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management to manage multi-site operations. They need to transfer inventory between two warehouses in different legal entities. What is the correct approach?

Question 166easymultiple choice
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A company wants to enable its warehouse workers to use handheld scanners to confirm picking activities. What must be configured in Dynamics 365 Supply Chain Management?

Question 167hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management with lot tracking. They need to ensure that the system enforces the first-expiry-first-out (FEFO) principle during picking. What configuration is required?

Question 168mediummulti select
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Which TWO features in Dynamics 365 Supply Chain Management are used to manage product quality?

Question 169hardmulti select
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Which THREE components are part of the advanced warehouse management setup in Dynamics 365 Supply Chain Management?

Question 170easymulti select
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Which TWO planning methods are available in Dynamics 365 Supply Chain Management for master planning?

Question 171mediummultiple choice
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Refer to the exhibit. A batch job for inventory replenishment is in 'Waiting' status. The last run failed due to insufficient inventory. What should you do to resolve the issue?

Exhibit

{
  "BatchJob": {
    "JobId": "JOB-12345",
    "Status": "Waiting",
    "Recurrence": "Daily",
    "StartDateTime": "2025-01-15T02:00:00Z",
    "History": [
      {"ExecutionDate": "2025-01-14", "Status": "Error", "Message": "Insufficient inventory for item A0001"}
    ]
  }
}
Question 172hardmultiple choice
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Refer to the exhibit. A warehouse uses location directives for sales picking with FEFO strategy. Workers are unable to pick from bulk locations even though there is stock. What is the most likely cause?

Exhibit

{
  "Warehouse": "WH01",
  "LocationDirective": {
    "WorkOrderType": "Sales",
    "Sequence": 1,
    "Strategy": "FEFO",
    "Location": [
      {"LocationProfile": "BULK", "MinQty": 0, "MaxQty": 10000},
      {"LocationProfile": "PICK", "MinQty": 0, "MaxQty": 500}
    ]
  }
}
Question 173easymultiple choice
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Refer to the exhibit. A master plan has generated a planned purchase order for 100 units of item A0001 with status 'Approved'. What does the 'Approved' status indicate?

Exhibit

{
  "MasterPlan": {
    "PlanName": "PlanA",
    "CoverageGroup": "Default",
    "PlannedOrder": [
      {"ItemNumber": "A0001", "OrderType": "PurchaseOrder", "Quantity": 100, "Status": "Approved"}
    ]
  }
}
Question 174mediummultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management. They notice that the forecasted demand for a critical raw material is consistently lower than actual consumption, causing stockouts. What is the most likely cause?

Question 175easymultiple choice
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A company wants to track inventory in multiple warehouses using serial numbers. In Dynamics 365 Supply Chain Management, what must be configured on the item to enable mandatory serial number tracking?

Question 176hardmultiple choice
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A distribution company uses Dynamics 365 Supply Chain Management. They want to use AI to predict customer demand and automatically suggest purchase orders. Which feature should they enable?

Question 177mediummultiple choice
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A company wants to automatically create purchase orders when inventory for a specific item drops below a predefined level. Which master planning concept should be used?

Question 178easymultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to ensure that raw materials are inspected before being put away. Which warehouse management configuration should be used?

Question 179mediummultiple choice
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A manufacturer uses Dynamics 365 Supply Chain Management. They produce items using a bill of materials (BOM) and want to automatically consume raw materials when production is reported as finished. Which production parameter should be set?

Question 180hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to implement a policy where a specific supplier must be used for a particular item. Which configuration enforces this?

Question 181easymultiple choice
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A company wants to use Dynamics 365 Supply Chain Management to manage product versions and engineering changes. Which module should they use?

Question 182mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to optimize logistics costs by consolidating shipments from multiple orders to the same customer. Which feature should they use?

Question 183mediummulti select
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Which TWO of the following are required to use the Planning Optimization add-in in Dynamics 365 Supply Chain Management?

Question 184hardmulti select
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Which THREE of the following are capabilities of the Warehouse management module in Dynamics 365 Supply Chain Management?

Question 185easymulti select
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Which TWO of the following are prerequisites for using quality management in Dynamics 365 Supply Chain Management?

Question 186mediummultiple choice
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A company has configured the Planning Optimization add-in as shown. A planner manually firms a planned order for a component that has a lead time of 25 days. The order's requirement date is 45 days from now. What will happen during the next master planning run?

Exhibit

Refer to the exhibit.

```json
{
  "PlanningOptimizationConfiguration": {
    "Enabled": true,
    "InstanceName": "PO-Instance-01",
    "FirmPlannedOrders": true,
    "FirmingTimeFenceDays": 30,
    "IncludeSafetyStock": true,
    "CalculateActionMessages": false
  }
}
```
Question 187hardmultiple choice
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A warehouse manager configures a location profile as shown. A mobile device user attempts to put away a pallet of item A into location BULK-001. The system rejects the putaway. What is the most likely reason?

Exhibit

Refer to the exhibit.

```json
{
  "WarehouseParameters": {
    "UseWarehouseManagementProcess": true,
    "DefaultLocation": "BULK-001",
    "ReservationHierarchy": "Site WH Location"
  },
  "LocationProfile": "BULK",
  "LocationType": "Bulk",
  "MaxPallets": 10
}
```
Question 188easymultiple choice
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A company creates a product with the configuration shown. They produce 10 units of this item. How many units of raw material RM-001 are required?

Exhibit

Refer to the exhibit.

```json
{
  "ProductInformationManagement": {
    "ProductType": "Item",
    "StorageDimensionGroup": "SiteWH",
    "TrackingDimensionGroup": "Serial",
    "InventoryModelGroup": "FIFO",
    "BOMVersion": {
      "BOMID": "BOM-001",
      "Quantity": 1,
      "Components": [
        {"ItemNumber": "RM-001", "Quantity": 2},
        {"ItemNumber": "RM-002", "Quantity": 1}
      ]
    }
  }
}
```
Question 189mediummultiple choice
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A manufacturing company is implementing Dynamics 365 Supply Chain Management. They want to ensure that raw material inventory is automatically replenished when stock falls below a predefined level. Which feature should they configure?

Question 190hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to implement a process where products are tracked from raw material to finished goods using unique identifiers. Which feature should they enable to achieve this?

Question 191easymultiple choice
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A distribution company uses Dynamics 365 Supply Chain Management and needs to optimize warehouse operations by grouping items that are frequently shipped together. Which warehouse concept should they apply?

Question 192mediummultiple choice
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A manufacturer uses Dynamics 365 Supply Chain Management and wants to improve demand forecasting accuracy by incorporating external data such as weather and economic indicators. Which module should they use?

Question 193hardmultiple choice
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A company is evaluating Dynamics 365 Supply Chain Management for its complex manufacturing process that involves both discrete and process manufacturing. Which capability should they use to handle the co-products and by-products generated during production?

Question 194easymultiple choice
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A logistics company wants to use Dynamics 365 Supply Chain Management to track transportation costs and optimize routing. Which module should they implement?

Question 195mediummultiple choice
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A company using Dynamics 365 Supply Chain Management notices that inventory accuracy is low due to manual data entry errors. Which feature can help automate data capture and improve accuracy?

Question 196hardmultiple choice
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A manufacturer wants to implement a pull-based production system where work cells signal upstream processes when they need more parts. Which Dynamics 365 Supply Chain Management feature should they use?

Question 197easymultiple choice
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A retail company uses Dynamics 365 Supply Chain Management and wants to ensure that products are available at the right locations to meet customer demand without overstocking. Which planning method should they use?

Question 198mediummulti select
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Which TWO features in Dynamics 365 Supply Chain Management are used to manage and track inventory in a warehouse?

Question 199hardmulti select
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Which THREE modules are part of Dynamics 365 Supply Chain Management?

Question 200easymulti select
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Which TWO Dynamics 365 Supply Chain Management features are used to manage quality control?

Question 201hardmultiple choice
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Refer to the exhibit. A company has configured the product F0001 with the storage dimension group 'SiteWarehouse' and tracking dimension group 'BatchSerial'. What does this configuration allow?

Exhibit

{
  "Product": {
    "ItemNumber": "F0001",
    "StorageDimensionGroup": "SiteWarehouse",
    "TrackingDimensionGroup": "BatchSerial"
  }
}
Question 202mediummultiple choice
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Refer to the exhibit. A company uses demand forecasting with ARIMA method and a historical horizon of 12 months. What is the primary advantage of using ARIMA for forecasting?

Exhibit

"DemandForecast": {
  "ForecastModelId": "DEFAULT",
  "DemandForecastMethod": "ARIMA",
  "HistoricalHorizon": 12
}
Question 203easymultiple choice
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Refer to the exhibit. A warehouse location is configured with LocationProfileId 'BULK' and MaxPalletWeight 1000. What is the primary purpose of this configuration?

Exhibit

{
  "WarehouseLocation": {
    "LocationProfileId": "BULK",
    "LocationType": "Bulk",
    "MaxPalletWeight": 1000
  }
}
Question 204mediummultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management. They want to optimize inventory levels by using a replenishment strategy that maintains a constant stock level based on forecast demand. Which replenishment method should they use?

Question 205easymultiple choice
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A company uses Dynamics 365 Supply Chain Management to manage its warehouse operations. They want to implement a strategy where workers are guided through tasks using scanning devices. Which feature should they configure?

Question 206hardmultiple choice
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A global manufacturer uses Dynamics 365 Supply Chain Management. They need to configure a process that automatically generates purchase orders when inventory drops below a predefined level, based on real-time demand. Which feature should they use?

Question 207mediummulti select
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A company is implementing Dynamics 365 Supply Chain Management to improve warehouse efficiency. Which TWO features are part of warehouse management?

Question 208hardmulti select
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A manufacturer uses Dynamics 365 Supply Chain Management. They want to implement a production flow that supports lean manufacturing. Which THREE features should they consider?

Question 209easymulti select
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A company uses Dynamics 365 Supply Chain Management to manage its supply chain. They need to configure settings for transportation management. Which TWO parameters are typically defined?

Question 210hardmultiple choice
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Refer to the exhibit. A production planner sees that a work center has a capacity of 480 minutes per day, but jobs are consistently late. They suspect the calendar is not accounting for breaks. What should they verify?

Exhibit

{
  "ResourceCapacity": {
    "Calendar": "5Day",
    "Capacity": 480,
    "EfficiencyPercentage": 100,
    "OperationSchedulingDirection": "Forward"
  }
}
Question 211mediummultiple choice
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Refer to the exhibit. A company manufactures a finished good (FGI-100) and produces a co-product (CP-01) during production. The cost accountant notices that the cost of FGI-100 does not reflect the offset from the co-product. What should they configure?

Exhibit

{
  "BOMVersion": {
    "BOMId": "BOM-001",
    "ItemNumber": "FGI-100",
    "Quantity": 1,
    "CoProduct": [
      {
        "ItemNumber": "CP-01",
        "Quantity": 0.5
      }
    ]
  }
}
Question 212easymultiple choice
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Refer to the exhibit. A warehouse manager wants to store high-volume items in location A-01-01. They notice the location type is 'Bulk'. What is the primary purpose of a Bulk location type?

Exhibit

{
  "WarehouseLocation": {
    "Warehouse": "WH-01",
    "Location": "A-01-01",
    "LocationType": "Bulk",
    "MaxPallets": 10
  }
}
Question 213mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to ensure that raw materials are available for production without overstocking. They use a planning method that considers both demand and supply. Which planning method is most appropriate?

Question 214hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management and notices that inventory costs are increasing due to high carrying costs for slow-moving items. They want to automate the classification of items based on usage value. Which feature should they use?

Question 215easymultiple choice
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A logistics manager wants to optimize delivery routes to reduce transportation costs. Which module in Dynamics 365 Supply Chain Management should they use?

Question 216mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management to manage quality inspections. They want to automatically generate quality orders for specific products upon receipt. What should they configure?

Question 217hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to implement a process where suppliers can monitor inventory levels and automatically replenish stock. Which feature should they enable?

Question 218easymultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to track production costs in real time. Which feature should they use?

Question 219mediummultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management. They notice that the planned production orders are not considering the latest demand changes. What should you check first?

Question 220hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management with advanced warehouse management. They need to enforce that workers scan a license plate when completing a transfer order receipt. Which configuration should be used?

Question 221easymultiple choice
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A company uses Dynamics 365 Supply Chain Management to manage inventory. They want to automatically reduce the quantity of a component when a finished product is reported as finished. Which feature should they use?

Question 222mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management. They need to ensure that a specific item is always sourced from a preferred vendor, even if another vendor has a lower price. Which configuration should be used?

Question 223hardmultiple choice
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A distribution company uses Dynamics 365 Supply Chain Management. They notice that transfer order shipments are not being consolidated into loads efficiently. What should they configure to improve consolidation?

Question 224easymultiple choice
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A company uses Dynamics 365 Supply Chain Management for quality control. They want to automatically generate quality orders for a specific item when it is received from a certain vendor. How should they achieve this?

Question 225mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management with process manufacturing. They need to manage byproducts and co-products in a production order. Which functionality should they use?

Question 226hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management. They want to use AI to forecast demand and suggest replenishment. Which feature should they enable?

Question 227easymultiple choice
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A company uses Dynamics 365 Supply Chain Management. They need to track inventory by batch number and expiration date. How should they configure the product?

Question 228mediummulti select
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Which TWO actions can be performed using the Dynamics 365 Supply Chain Management mobile warehouse app?

Question 229hardmulti select
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Which THREE are valid item model groups used in Dynamics 365 Supply Chain Management?

Question 230mediummulti select
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Which TWO are benefits of using Dynamics 365 Supply Chain Management with IoT integration?

Question 231hardmultiple choice
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Refer to the exhibit. A purchase order is confirmed but the lines are still open. What does this indicate?

Exhibit

{
  "PurchaseOrder": {
    "PurchaseOrderNumber": "PO-000123",
    "VendorAccount": "VEN-001",
    "OrderTotal": 15000.00,
    "PurchaseOrderStatus": "Confirmed",
    "LineItems": [
      {
        "ItemNumber": "ITEM-100",
        "Quantity": 100,
        "UnitPrice": 100.00,
        "LineStatus": "Open"
      },
      {
        "ItemNumber": "ITEM-200",
        "Quantity": 50,
        "UnitPrice": 100.00,
        "LineStatus": "Open"
      }
    ]
  }
}
Question 232mediummultiple choice
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Refer to the exhibit. The production order status is 'Started' and BOM consumption is set to 'Manual'. What must happen before the order can be reported as finished?

Exhibit

{
  "ProductionOrder": {
    "ProductionOrderNumber": "PRD-000456",
    "ItemNumber": "FINISHED-ITEM",
    "Quantity": 100,
    "Status": "Started",
    "ScheduledStartDate": "2026-05-01",
    "ScheduledEndDate": "2026-05-05",
    "ActualStartDate": "2026-05-02",
    "BOMConsumption": "Manual"
  }
}
Question 233easymultiple choice
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Refer to the exhibit. A transfer order is shipped but not received. Which step should be performed next?

Exhibit

{
  "TransferOrder": {
    "TransferOrderNumber": "TO-000789",
    "FromWarehouse": "WH-01",
    "ToWarehouse": "WH-02",
    "Status": "Shipped",
    "Lines": [
      {
        "ItemNumber": "ITEM-300",
        "Quantity": 10,
        "ShippedQuantity": 10,
        "ReceivedQuantity": 0
      }
    ]
  }
}
Question 234mediummultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management. The production planner notices that work orders are not being automatically generated when raw material inventory falls below the reorder point. Which configuration should the administrator verify?

Question 235easymultiple choice
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A company uses Dynamics 365 Supply Chain Management to manage warehouse operations. They want to ensure that workers are guided step-by-step during the picking process using mobile devices. Which feature should they implement?

Question 236hardmultiple choice
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A global manufacturer uses Dynamics 365 Supply Chain Management. They need to configure a product that is manufactured in multiple variants based on size and color, with each variant having its own bill of materials (BOM). Which product configuration approach should they use?

Question 237mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management. They want to ensure that when a purchase order is received, the system automatically creates a quality order for inspection. Which configuration is required?

Question 238easymultiple choice
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A company wants to use Dynamics 365 Supply Chain Management to optimize their transportation costs and delivery schedules. Which module should they primarily use?

Question 239mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to provide real-time visibility of inventory levels across multiple warehouses to external partners. Which feature should they use?

Question 240hardmultiple choice
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A company manufactures high-value equipment and needs to track each individual item's location, status, and service history throughout its lifecycle. Which capability should they use?

Question 241mediummultiple choice
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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?

Question 242easymultiple choice
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A company uses Dynamics 365 Supply Chain Management to plan production. They need to ensure that materials are available to meet production schedules without overstocking. Which module would they use to balance supply and demand?

Question 243mediummulti select
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Which TWO features are available in Dynamics 365 Supply Chain Management to support lean manufacturing?

Question 244hardmulti select
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Which THREE are valid cost accounting methods in Dynamics 365 Supply Chain Management?

Question 245mediummulti select
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Which THREE are components of the Dynamics 365 Supply Chain Management demand-driven planning?

Question 246mediummultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management. They need to ensure that raw materials are automatically ordered when inventory falls below a predefined level. Which feature should they configure?

Question 247hardmultiple choice
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A distribution company uses Dynamics 365 Supply Chain Management. They notice that the cost of goods sold (COGS) is being incorrectly calculated for certain items. The items are set up with a costing method of 'FIFO' and the inventory model is 'FIFO with physical value'. The issue occurs when purchase orders are received but not yet invoiced. What is the most likely cause of the incorrect COGS calculation?

Question 248easymultiple choice
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A company uses Dynamics 365 Supply Chain Management to manage its warehouse operations. They want to implement a strategy where workers are directed to pick items from specific locations based on the shortest travel distance. Which warehouse management feature should they use?

Question 249hardmultiple choice
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A global manufacturer uses Dynamics 365 Supply Chain Management. They are implementing IoT-enabled predictive maintenance for their production equipment. Which component should they integrate with Supply Chain Management to receive and process IoT signals?

Question 250easymultiple choice
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A company uses Dynamics 365 Supply Chain Management to manage its supply chain. They need to track the carbon footprint of each product throughout its lifecycle. Which capability should they use?

Question 251mediummultiple choice
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A food and beverage company uses Dynamics 365 Supply Chain Management. They need to manage batch attributes such as shelf-life and allergen information for raw materials. Which feature should they configure?

Question 252hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management with dual-write to Dynamics 365 Sales. They are experiencing issues where changes to product pricing in Supply Chain Management are not reflecting in Sales. What should they troubleshoot first?

Question 253easymultiple choice
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A company wants to use Dynamics 365 Supply Chain Management to automate the process of creating purchase orders based on demand from sales orders. Which process should they use?

Question 254mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management. They want to improve warehouse efficiency by grouping multiple orders into a single picking wave. Which feature should they use?

Question 255mediummulti select
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Which TWO actions should a supply chain manager take to set up vendor collaboration in Dynamics 365 Supply Chain Management?

Question 256hardmulti select
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Which THREE capabilities are provided by the Warehouse management module in Dynamics 365 Supply Chain Management?

Question 257mediummulti select
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Which TWO benefits does the Asset management module in Dynamics 365 Supply Chain Management provide?

Question 258hardmultiple choice
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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?

Question 259mediummultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management. They want to ensure that raw materials are available for production without overstocking. Which feature should they use to calculate material requirements based on production schedules?

Question 260hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to implement a strategy where products are stored at multiple warehouse locations, but picking is optimized by consolidating orders from the nearest location to the customer. Which configuration supports this?

Question 261easymultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to track a product's entire lifecycle from raw material to finished good and through to customer delivery. Which feature should they use?

Question 262mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to automate the replenishment of items based on historical demand and predefined minimum stock levels. Which feature should they configure?

Question 263hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to ensure that when a sales order is created, the system automatically checks if there is enough inventory to fulfill it. If not, the order should be placed on hold until the required materials are available. Which feature should they use?

Question 264easymultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to manage the procurement of raw materials from multiple suppliers. They need to compare supplier prices, lead times, and quality ratings before selecting a vendor. Which module should they use?

Question 265mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to optimize warehouse operations by grouping similar items together to reduce travel time for pickers. Which configuration should they use?

Question 266hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to implement a policy that prevents picking of expired or near-expiry inventory for customer orders. The system should automatically block such inventory from being reserved. Which feature should they use?

Question 267easymultiple choice
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A company uses Dynamics 365 Supply Chain Management and needs to track the cost of goods sold (COGS) using a method that assumes the most recently produced items are sold first. Which inventory costing method should they use?

Question 268mediummulti select
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Which TWO features in Dynamics 365 Supply Chain Management can be used to improve warehouse picking efficiency?

Question 269hardmulti select
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Which THREE components are part of the Dynamics 365 Supply Chain Management warehouse management system?

Question 270easymulti select
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Which TWO of the following are valid master planning types in Dynamics 365 Supply Chain Management?

Question 271hardmulti select
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Which THREE of the following are capabilities of the Dynamics 365 Supply Chain Management Copilot (AI) features?

Question 272hardmultiple choice
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You are a supply chain consultant for a mid-sized manufacturing company that uses Dynamics 365 Supply Chain Management. The company produces electronic components and has two warehouses: one for raw materials (Warehouse A) and one for finished goods (Warehouse B). They have been experiencing frequent delays in production because raw materials are not available when needed, even though the materials are in stock at Warehouse A. The production scheduler reports that the system does not automatically reserve materials for production orders. Additionally, the warehouse manager wants to implement a policy where high-value raw materials are stored in a secure, locked area within Warehouse A, and only authorized workers can pick them. You need to configure the system to: (1) automatically reserve raw materials for production orders when they are firm planned; (2) restrict picking of high-value materials to specific workers. What should you do?

Question 273mediummultiple choice
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You are a Dynamics 365 Supply Chain Management functional consultant for a food and beverage company. The company receives raw materials from multiple suppliers and needs to enforce quality inspections on all inbound shipments of dairy products. If a dairy shipment fails inspection, the entire lot must be quarantined and cannot be used in production. Additionally, the company wants to automatically generate purchase orders when the inventory level of a key ingredient falls below a reorder point. The inventory planner will review and approve the suggested orders before they are sent to suppliers. You need to configure the system to: (1) enforce quality inspections on inbound dairy products; (2) automatically quarantine failed lots; (3) generate purchase order suggestions based on reorder points. What should you do?

Question 274easymultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management to manage its production. The production manager notices that the planned production orders are not generating the expected material requirements. What should the administrator check first?

Question 275mediummultiple choice
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A company wants to use Dynamics 365 Supply Chain Management to automate replenishment of raw materials from suppliers based on current inventory levels. Which feature should they configure?

Question 276hardmultiple choice
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During a system audit, you discover that a warehouse worker has been able to pick inventory that was reserved for another order. Which configuration change should you recommend to prevent this issue?

Question 277mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management with advanced warehouse management. They want to ensure that workers picking sales orders are directed to the nearest location with available inventory. Which configuration should they use?

Question 278easymultiple choice
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A company needs to track the cost of raw materials from the moment they are received until the finished goods are sold. Which costing method should they use to ensure that each unit's cost is individually tracked?

Question 279mediummultiple choice
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A distribution company uses Dynamics 365 Supply Chain Management. They want to automatically calculate transportation charges for outbound shipments based on weight and distance. Which module should they use?

Question 280hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management with master planning. They notice that planned orders are not being firmed automatically even though the coverage group settings have a firming time fence. What could be the cause?

Question 281easymultiple choice
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A company wants to use Dynamics 365 Supply Chain Management to manage quality inspections for incoming raw materials. Which module should they configure?

Question 282mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to use AI to predict potential stockouts and suggest replenishment orders. Which feature should they enable?

Question 283hardmulti select
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Which TWO actions should you take to configure Dynamics 365 Supply Chain Management to support a lean manufacturing environment?

Question 284mediummulti select
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Which THREE features are available in Dynamics 365 Supply Chain Management to improve warehouse efficiency?

Question 285easymulti select
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Which TWO modules are part of Dynamics 365 Supply Chain Management?

Question 286hardmultiple choice
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Contoso Ltd. is a global manufacturer of electronic components. They use Dynamics 365 Supply Chain Management with advanced warehouse management (WMS). The warehouse manager reports that during peak seasons, the picking process is slow because workers often have to travel long distances to pick items for multiple orders. Additionally, they want to improve the accuracy of shipments by ensuring that items are picked in the correct sequence. They have implemented barcode scanning on mobile devices. The IT team has configured location directives and work templates. However, the manager believes that the current setup does not optimize travel time or enforce a specific picking order. The company needs a solution that groups orders with similar items into a single picking trip and prioritizes picks based on the physical layout of the warehouse. They have considered using wave management but are unsure how to configure it. What should the administrator do?

Question 287mediummultiple choice
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Northwind Traders uses Dynamics 365 Supply Chain Management for their distribution operations. They have a requirement to manage inventory across multiple warehouses and legal entities. They want to transfer finished goods from their manufacturing subsidiary (legal entity A) to their distribution subsidiary (legal entity B) at a transfer price that includes a markup. The transfer should be recorded as a sale in entity A and a purchase in entity B. They plan to use intercompany functionality. The finance team has set up intercompany parameters, but the transactions are not creating the expected intercompany orders. The administrator has verified that both entities are configured correctly in the system. However, the intercompany orders are not generated automatically when a purchase order is created in entity B. What should the administrator check next?

Question 288easymultiple choice
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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?

Question 289mediummultiple choice
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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?

Question 290hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management with warehouse management. They need to enforce that workers scan a license plate when picking items from a bulk location. Which configuration should be used?

Question 291easymultiple choice
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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?

Question 292hardmultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management for process manufacturing. They produce a liquid chemical that requires a specific mixing time. Which feature should be used to enforce that the production step takes at least 30 minutes before the next step can begin?

Question 293mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to track the environmental impact of their products, such as carbon footprint, across the supply chain. Which capability should they use?

Question 294easymultiple choice
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A distribution company uses Dynamics 365 Supply Chain Management and needs to set up a consignment inventory process where the supplier owns the inventory until it is consumed. Which inventory model should be used?

Question 295hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management with advanced warehouse management. They need to ensure that when a purchase order is received, the system automatically creates work to put away the items in a specific location based on the product's storage dimension group. Which configuration is required?

Question 296mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management and wants to use AI to predict potential supply chain disruptions, such as supplier delays, and suggest alternative actions. Which Copilot feature should they use?

Question 297easymultiple choice
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A company uses Dynamics 365 Supply Chain Management and needs to ensure that all inbound shipments from a specific vendor are inspected before being put away. Which feature should be configured?

Question 298mediummulti select
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A company uses Dynamics 365 Supply Chain Management for discrete manufacturing. They need to reduce waste by ensuring that raw materials are only issued to production orders when the production order is released to the floor. Which TWO actions should they take?

Question 299hardmulti select
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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?

Question 300mediummulti select
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A company uses Dynamics 365 Supply Chain Management and wants to use Copilot to assist with supply chain planning. Which THREE capabilities are provided by Copilot in Supply Chain Management?

Question 301hardmulti select
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A company uses Dynamics 365 Supply Chain Management for process manufacturing. They need to enforce that a specific formula version is used for a product based on its shelf life. Which THREE configurations are required?

Question 302hardmultiple choice
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You are the supply chain manager for a global pharmaceutical company that manufactures and distributes temperature-sensitive vaccines. The company uses Dynamics 365 Supply Chain Management with warehouse management and production control. The vaccines must be stored at 2-8°C throughout the supply chain. You need to design a process that ensures: (1) inbound vaccine shipments are inspected and temperature-logged before acceptance, (2) vaccines are immediately moved to a cold storage location upon receipt, (3) picking for outbound orders always prioritizes vaccines with the nearest expiration date (FEFO), and (4) any temperature excursion during storage automatically triggers a quarantine and quality order. Which set of configurations should you implement?

Question 303mediummultiple choice
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You are a solutions architect for a furniture manufacturer that uses Dynamics 365 Supply Chain Management. The company produces custom furniture and uses make-to-order production. They have the following requirements: (1) When a sales order is created, the system must automatically create a production order for the configured product. (2) The production order must use a BOM and route that are specific to the order configuration. (3) The production order must be scheduled based on material availability and capacity. (4) The company wants to use Copilot to assist in creating the production schedule. Which set of configurations should you implement?

Question 304mediummultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management. The production scheduler notices that a critical raw material is frequently out of stock, causing delays. The procurement team manually places purchase orders only when stock reaches zero. Which feature should be configured to automatically trigger purchase orders based on demand forecasts and current inventory levels?

Question 305easymulti select
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Which TWO inventory costing methods are available in Dynamics 365 Supply Chain Management?

Question 306hardmultiple choice
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Refer to the exhibit. An administrator is reviewing an inventory value report configuration in Dynamics 365 Supply Chain Management. The report shows total quantities and costs for items that are not closed. A user complains that the report does not include items from site 2. What is the most likely cause?

Exhibit

{
  "InventoryValueReport": {
    "Query": "SELECT ItemId, SUM(PhysicalInventory) as TotalQty, SUM(PhysicalCostAmount) as TotalCost FROM InventSum WHERE Closed = 0 GROUP BY ItemId",
    "Filters": [
      {"Field": "SiteId", "Value": "1"}
    ]
  }
}
Question 307mediummultiple choice
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You are the supply chain consultant for a global electronics manufacturer that uses Dynamics 365 Supply Chain Management. The company procures components from multiple vendors and assembles finished goods in three factories: Berlin, Shanghai, and Monterrey. The current process requires planners to manually review demand and supply for each site and create purchase orders. The company wants to automate the generation of purchase requisitions based on forecasted demand and current inventory levels. Additionally, they need to ensure that the system respects vendor lead times and minimum order quantities. You propose using master planning to generate planned purchase orders. However, the procurement manager is concerned that planned orders might be created too frequently for low-demand items, causing an excessive number of small purchases. What should you configure to consolidate planned purchase orders for the same vendor within a defined time window?

Question 308hardmultiple choice
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You are a functional consultant for a pharmaceutical company implementing Dynamics 365 Supply Chain Management. The company must comply with strict regulatory requirements for traceability and lot control. They produce serialized products where each batch must be tracked from raw material receipt to final product shipment. The production process involves mixing raw materials in a specific sequence and quantity, and the company currently uses paper-based batch records. They want to digitize the process to enforce that operators cannot proceed to the next step unless the previous step is completed and quantities are within specification. Additionally, they need to capture actual consumption of raw materials against the batch order. Which combination of features should you recommend?

Question 309easymultiple choice
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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?

Question 310mediummulti select
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Which THREE modules are part of Dynamics 365 Supply Chain Management?

Question 311hardmultiple choice
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You are a system administrator for a food and beverage company using Dynamics 365 Supply Chain Management. The company produces perishable goods with expiration dates. They currently track inventory by batch, but they need to enforce a first-expiry-first-out (FEFO) picking strategy in their warehouse. When a sales order is picked, the system should automatically suggest the batch with the earliest expiration date. Additionally, if a batch has expired, the system should prevent it from being picked and should quarantine it. What configuration steps should you perform to meet these requirements?

Question 312mediummultiple choice
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A manufacturing company uses Dynamics 365 Supply Chain Management with discrete manufacturing. They produce furniture in a make-to-stock environment. The production scheduler creates production orders for batches of 100 chairs. Raw materials are issued from the warehouse to the production floor based on a bill of materials (BOM). The company wants to streamline the process by automatically reserving raw materials when a production order is released, and also to capture the actual raw material consumption during production, rather than posting the full BOM consumption upon order start. Which manufacturing execution feature should you enable?

Question 313hardmulti select
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Which TWO capabilities are provided by the Warehouse management module in Dynamics 365 Supply Chain Management?

Question 314mediummultiple choice
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You are a supply chain analyst for a company that uses Dynamics 365 Supply Chain Management. The company procures steel coils from multiple suppliers. The procurement manager wants to evaluate supplier performance based on on-time delivery and price variance. They need a dashboard that shows a scorecard for each supplier, summarizing the percentage of deliveries received on or before the promised date, and the average price deviation from the purchase order price. Which tool should you use to create this dashboard without custom development?

Question 315easymultiple choice
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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?

Question 316mediummulti select
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Which THREE processes are supported by the Production control module in Dynamics 365 Supply Chain Management?

Question 317hardmultiple choice
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You are a Dynamics 365 consultant for a chemical company that uses process manufacturing. They produce adhesives in batches, and the quality of the final product depends on precise adherence to the formula. The company wants to implement a system that prevents operators from starting a production batch unless the raw materials meet quality specifications (e.g., viscosity and purity). Additionally, the system should record the actual test results for each material used in the batch. Which feature combination should you recommend?

Question 318easymultiple choice
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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?

Question 319hardmultiple choice
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You are the supply chain manager at a manufacturing company using Dynamics 365 Supply Chain Management. The company operates three warehouses: WH01 (finished goods), WH02 (raw materials), and WH03 (work-in-process). You need to configure inventory visibility for real-time demand planning. The company requires that inventory levels from all three warehouses be viewable in a single dashboard, with the ability to allocate stock to sales orders before physical pick. Additionally, you must ensure that the system can handle soft reservations across warehouses without impacting the physical inventory counts. You have the following options: A. Configure the Inventory Visibility Service add-in and set up soft reservations using the Allocation API. B. Use the standard Inventory On-hand report and manually reserve stock per warehouse. C. Implement Warehouse Management System (WMS) and use the wave execution to allocate stock. D. Set up Product Information Management with transfer orders to move stock between warehouses. Which option should you choose?

Question 320hardmultiple choice
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A distribution company uses Dynamics 365 Supply Chain Management to manage its supply chain. Recently, the company has been facing issues with late deliveries to customers. The root cause analysis shows that the planning department is not accurately accounting for lead times from suppliers. The company wants to improve the accuracy of purchase order delivery dates. You need to configure the system to automatically calculate purchase order delivery dates based on vendor lead times and calendar exceptions. The company uses the Master Planning module for supply planning. You have the following options: A. Set up vendor lead times in the Vendor master and configure the purchase lead time field in the Product master. Then run Master Planning to generate planned purchase orders with correct delivery dates. B. Manually adjust delivery dates on each purchase order based on phone calls with vendors. C. Use the Procurement and Sourcing module to create blanket purchase agreements that override lead times. D. Configure the Warehouse Management module to use the shipment consolidation functionality to adjust delivery dates. Which option should you choose?

Question 321mediummultiple choice
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A food processing company uses Dynamics 365 Supply Chain Management. They need to track raw materials by lot number for quality control and recall management. The company purchases ingredients from multiple vendors, and each lot must be traceable from the vendor to the final product. The company also needs to ensure that when a product is produced, the system automatically consumes the raw materials based on the batch order. You need to configure the system to support lot tracking and automatic consumption. You have the following options: A. Enable lot tracking in the Product master for each raw material. Use the Batch order process with automatic consumption set to 'At start' or 'At completion'. B. Use the Warehouse Management module to configure location directives for lot-controlled items. C. Enable serial tracking for all raw materials and manually enter serial numbers during production. D. Use the Inventory Management module to create inventory adjustments for lot consumption. Which option should you choose?

Question 322easymultiple choice
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A small business uses Dynamics 365 Supply Chain Management to manage inventory. They currently sell products from a single warehouse. The owner wants to start tracking the cost of goods sold (COGS) for each product using the standard costing method. You need to set up the system to calculate COGS correctly. You have the following options: A. Enable standard costing in the Inventory model group for each product and run the Inventory close process periodically. B. Use the FIFO costing method and run the Inventory recalculation. C. Use the Moving average costing method and rely on automatic posting to the general ledger. D. Configure the Product master to use the Purchase price as the cost price and post directly to COGS. Which option should you choose?

Question 323hardmultiple choice
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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?

Question 324mediummultiple choice
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A retail company uses Dynamics 365 Supply Chain Management to manage its supply chain. The company has many stores that replenish inventory from a central distribution center. The company wants to use demand-driven replenishment to automatically generate purchase orders for the distribution center based on sales forecasts and current inventory levels. The company uses the Master Planning module. You need to configure the system to generate planned purchase orders for the distribution center. You have the following options: A. Set up a coverage group for the distribution center with the coverage code 'Min/Max' and run Master Planning. B. Set up intercompany orders between the stores and the distribution center. C. Use the Demand forecasting module to generate forecasts and manually create purchase orders. D. Configure the Product master with a reorder point and use inventory journals to create purchase orders. Which option should you choose?

Question 325mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management with Warehouse Management (WMS). The warehouse manager wants to optimize the picking process by grouping multiple orders into a single picking wave. The company uses cluster picking and wants workers to pick items for multiple orders at once. You need to configure the system to support cluster picking. You have the following options: A. Create a wave template that uses cluster picking and assign it to the appropriate warehouse. Configure a mobile device menu item for cluster picking. B. Use the work creation process to combine orders into a single work order. C. Configure the location directives to direct all picks to a single location. D. Use the load planning workbench to create loads and then pick by load. Which option should you choose?

Question 326hardmultiple choice
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A medical device manufacturer uses Dynamics 365 Supply Chain Management. They are subject to strict regulatory requirements requiring complete traceability of each device to its raw material lots. The company uses process manufacturing with batch orders. Each finished device has a unique serial number that must be linked to the lot numbers of all raw materials used. The company also needs to maintain a genealogy of components. You need to configure the system to capture this traceability. You have the following options: A. Enable serial tracking for the finished device and lot tracking for raw materials. Use the batch order to record the consumption of raw material lots against the serial number. B. Use the Product master to assign a serial number to the finished good and manually enter lot numbers in a free text field. C. Use the Warehouse Management module to create location labels that include serial and lot information. D. Use the Quality management module to create quality orders for each batch and associate them with serial numbers. Which option should you choose?

Question 327mediummultiple choice
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A company uses Dynamics 365 Supply Chain Management. The procurement manager wants to automate the creation of purchase orders from purchase requisitions that are approved by an approval workflow. The company uses procurement categories to classify purchases. You need to configure the system so that when a purchase requisition is approved, a purchase order is automatically created. You have the following options: A. Set up a purchase requisition workflow that includes the 'Create purchase order' action as part of the workflow. B. Manually create purchase orders after the requisition is approved. C. Use the Procurement and Sourcing module to set up a purchase agreement that automatically generates purchase orders. D. Use the Master Planning module to generate planned purchase orders from requisitions. Which option should you choose?

Question 328easymultiple choice
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A company uses Dynamics 365 Supply Chain Management to manage inventory. They want to use the Inventory turnover ratio to analyze how quickly inventory is sold. The finance team needs to see this ratio on a dashboard. You need to configure the system to calculate and display the inventory turnover ratio. You have the following options: A. Use the Inventory value report and calculate the ratio manually in Excel. B. Use the Power BI content pack for Dynamics 365 Supply Chain Management, which includes inventory turnover measures. C. Use the Inventory aging report to estimate turnover. D. Use the Warehouse Management module to track movements and calculate turnover. Which option should you choose?

Question 329hardmultiple choice
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A company uses Dynamics 365 Supply Chain Management with the Warehouse Management module. They receive goods from multiple vendors and need to put them away efficiently. The warehouse uses a directed putaway strategy based on location profiles and unit load constraints. The warehouse manager wants to optimize putaway by grouping similar items together in the same zone. You need to configure the system to automatically direct putaway to appropriate locations based on location profile and unit load. You have the following options: A. Configure location directives for putaway with appropriate query criteria for location profiles and unit load constraints. Set up work templates to create work for putaway. B. Use the mobile device menu items to manually select locations for each item. C. Use the Inventory management module to set up location groups and manually assign items to locations. D. Use the Product master to assign a default location for each item. Which option should you choose?

Question 330mediummulti select
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Which TWO of the following are features of Dynamics 365 Supply Chain Management that enable real-time visibility into inventory across multiple warehouses?

Question 331easymulti select
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Which THREE of the following are valid inventory costing methods supported by Dynamics 365 Supply Chain Management?

Question 332mediummulti select
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Which TWO of the following are capabilities of the Master Planning module in Dynamics 365 Supply Chain Management?

Question 333hardmulti select
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Which THREE of the following are valid configurations in the Warehouse Management module for controlling the movement of inventory?

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