MB-920 Multiple Select — 60 Questions

Question 1

Which THREE features are part of Dynamics 365 Supply Chain Management? (Choose three.)

Accepted Answer

Transportation management. Transportation management is a core feature of Dynamics 365 Supply Chain Management that handles inbound and outbound shipping, freight rating, routing, and carrier selection. It integrates with warehouse management to optimize delivery schedules and costs, making it a key supply chain capability.

Answer

Human resources

Answer

Budgeting

Question 2

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

Accepted Answer

Improved demand forecasting. Dynamics 365 Supply Chain Management's AI and Copilot features use machine learning models to analyze historical sales data, market trends, and external factors (e.g., weather, economic indicators) to generate more accurate demand forecasts. This reduces stockouts and overstock situations by predicting future demand with higher precision than traditional statistical methods.

Answer

Automated supplier negotiation

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Reduced need for manual data entry

Question 3

Which TWO are valid warehouse management processes in Dynamics 365 Supply Chain Management?

Accepted Answer

Receiving and putaway. Receiving and putaway are core warehouse management processes in Dynamics 365 Supply Chain Management. The system uses mobile device menus and warehouse location directives to guide workers through receiving inventory and placing it into storage locations, leveraging license plate tracking and inventory status updates.

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Purchase order creation

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Production scheduling

Answer

Invoice matching

Question 4

Which TWO actions should a Dynamics 365 Finance administrator take to ensure that intercompany transactions are automatically reconciled and eliminated during consolidation?

Accepted Answer

Set up an elimination rule for intercompany transactions.. Options A and C are correct. Setting up intercompany accounting (option C) ensures that transactions are automatically matched between legal entities, and an elimination rule (option A) automates the elimination of intercompany balances during consolidation. Option B is wrong because the consolidation online feature is for transferring balances, not for elimination. Option D is wrong because consolidation groups are for grouping legal entities, not for eliminating intercompany transactions. Option E is wrong because intercompany workflows are for approval, not for reconciliation or elimination.

Answer

Use the Consolidation online feature to transfer balances.

Answer

Define consolidation groups to group legal entities.

Answer

Create an intercompany workflow to approve transactions.

Question 5

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

Accepted Answer

Cycle counting. Cycle counting is a core capability of the Dynamics 365 Supply Chain Management warehouse management module, allowing for ongoing inventory accuracy checks without full physical inventory shutdowns. It supports scheduled and ad-hoc counts based on item criteria, locations, or zones, and integrates with warehouse operations to minimize disruption.

Answer

Product lifecycle management

Answer

Service agreements

Question 6

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?

Accepted Answer

Explain master planning results in natural language. Options A, C, and E are correct. Copilot in Supply Chain Management can explain master planning results in natural language (A), predict potential supplier delays (C), and suggest alternative suppliers based on historical performance (E). Option B (generate purchase orders automatically) is not a Copilot capability but a standard automation feature. Option D (automatically adjust inventory levels using AI) is related to inventory optimization, not Copilot.

Answer

Generate purchase orders automatically

Answer

Automatically adjust inventory levels using AI

Question 7

Which TWO are benefits of using warehouse management in Dynamics 365 Supply Chain Management?

Accepted Answer

Defining location directives for putaway. Location directives in Dynamics 365 Supply Chain Management (SCM) automatically guide the system to the optimal storage location for putaway, ensuring efficient warehouse space utilization and inventory accuracy. Option C is correct because wave management groups picking work into waves, allowing the system to optimize picking sequences and resource allocation, which reduces travel time and increases throughput.

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Managing financial budgets

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Generating purchase orders automatically

Answer

Tracking production order status

Question 8

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

Accepted Answer

Location directives. Options A, B, and D are correct. Location directives determine pick/put locations, location profiles define location characteristics, and work templates define work types and processes. Option C (BOM versions) is incorrect because BOM versions are used for product structure and manufacturing, not warehouse management. Option E (Costing methods) is incorrect because costing methods are for inventory valuation and accounting.

Answer

BOM versions

Answer

Costing methods

Question 9

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

Accepted Answer

Preventive maintenance scheduling. Options C and E are correct. Preventive maintenance scheduling (C) allows organizations to plan and perform maintenance based on time or usage intervals, reducing unplanned downtime. Maintenance history tracking (E) provides a complete record of all maintenance activities, costs, and parts used, enabling better asset lifecycle management. Option A is incorrect because automated warranty claims processing is not a feature of the Asset management module; warranty management is handled elsewhere. Option B is incorrect because vendor performance analysis is part of Procurement or Vendor management, not Asset management. Option D is incorrect because demand forecasting is part of Master planning or Demand forecasting modules.

Answer

Automated warranty claims processing

Answer

Vendor performance analysis

Answer

Demand forecasting

Question 10

Which TWO features are included in Dynamics 365 Commerce to enhance the customer experience?

Accepted Answer

Personalized offers. Personalized offers (B) are correct because Dynamics 365 Commerce uses AI-driven customer insights and segmentation to deliver tailored discounts and promotions in real time, directly enhancing the shopping experience. Product recommendations (C) are correct because the system leverages machine learning algorithms to analyze browsing and purchase history, suggesting relevant items to increase cross-sell and upsell opportunities.

Answer

Vendor collaboration

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Inventory visibility

Answer

Demand forecasting

Question 11

Which THREE elements are required when setting up budget control in Dynamics 365 Finance?

Accepted Answer

Budget interval. The three required elements for setting up budget control in Dynamics 365 Finance are budget intervals, budget thresholds, and budget control rules. Budget intervals define the time period for budget control, budget thresholds set tolerance levels for overspending, and budget control rules specify the conditions and actions for enforcing budget control. Option B (budget plan template) is incorrect because budget plan templates are used for budget planning and not for budget control. Option D (reporting currency) is incorrect because reporting currency is an optional configuration and not a mandatory element for budget control.

Answer

Budget plan template

Answer

Reporting currency

Question 12

A company uses Dynamics 365 Supply Chain Management. They need to improve the accuracy of demand forecasting by incorporating external data such as weather forecasts and economic indicators. Which THREE features should they consider?

Accepted Answer

Demand forecasting. Demand forecasting in Dynamics 365 Supply Chain Management uses historical transaction data and can be extended with external data sources like weather and economic indicators through Azure Machine Learning. This integration improves forecast accuracy by applying machine learning models that correlate external factors with demand patterns.

Answer

Inventory visibility

Answer

Master planning

Question 13

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?

Accepted Answer

Set the production order status to 'Released' before issuing materials. Setting the production order status to 'Released' triggers the material picking process, ensuring raw materials are issued only after the order is released to the floor. Option D is correct because the 'Release to warehouse' process generates picking work, which controls the physical issuance of materials. Option A is incorrect because 'Estimated' status does not initiate material issuing; it is a preliminary step. Option C is incorrect because quality orders are for quality inspections, not material control. Option E is incorrect because 'Ended' status indicates completion, not material issuance.

Answer

Set the production order status to 'Estimated'

Answer

Create a quality order for raw materials

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Mark the production order as 'Ended'

Question 14

A company wants to use Dynamics 365 Finance for advanced financial planning and analysis. Which THREE capabilities should they enable?

Accepted Answer

Budgeting. Budgeting (C) is a core capability in Dynamics 365 Finance that enables organizations to create, manage, and analyze budgets, which is essential for advanced financial planning and analysis. It integrates with general ledger and other modules to support budget control, budget planning, and budget reporting, allowing for proactive financial management.

Answer

Accounts payable

Answer

Invoice capture

Question 15

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

Accepted Answer

Shipping. Options A, C, and D are correct: Receiving, Picking, and Shipping are core warehouse processes. Option B is incorrect because Budgeting is a financial process, not a warehouse management process. Option E is incorrect because Invoicing is part of Accounts receivable, which is also a financial process.

Answer

Budgeting

Answer

Invoicing

Question 16

A company is configuring fixed assets in Dynamics 365 Finance. They need to ensure that asset depreciation is calculated differently for tax reporting and financial reporting. Which TWO actions must be taken?

Accepted Answer

Create multiple value models for the same asset.. In Dynamics 365 Finance, to calculate depreciation differently for tax and financial reporting, you must create multiple value models for the same asset. Each value model can then be assigned a separate depreciation profile, allowing distinct depreciation calculations for each reporting purpose.

Answer

Use a single depreciation book for both tax and financial.

Answer

Enable the 'Derived value models' feature.

Answer

Use a single value model with multiple depreciation profiles.

Question 17

A company uses Dynamics 365 Finance and Operations. They need to configure financial dimensions for reporting. Which TWO statements about financial dimensions are correct?

Accepted Answer

Financial dimensions can be used to segment financial data for reporting.. Financial dimensions in Dynamics 365 Finance and Operations are specifically designed to segment financial data, such as splitting revenue by region or product line, enabling granular reporting and analysis. This segmentation allows organizations to create detailed financial statements and pivot on dimensions like cost center or department for deeper insights.

Answer

Financial dimensions cannot be used in budget control.

Answer

Financial dimensions are only applicable to the main account.

Answer

Financial dimensions can only be used in one account structure at a time.

Question 18

A company uses Dynamics 365 Finance. They need to automate expense report processing. Which TWO capabilities are available in Expense management?

Accepted Answer

Credit card transaction import. Credit card transaction import (Option B) is a core capability of Expense management in Dynamics 365 Finance, allowing employees to automatically import corporate credit card charges into expense reports, reducing manual entry. AI-powered receipt matching (Option D) uses machine learning to match receipt images to expense line items, streamlining approval and audit processes.

Answer

Integration with payroll for automatic deductions

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Direct submission to general ledger

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Automatic payment to employees

Question 19

Which TWO capabilities are part of Dynamics 365 Finance and Operations core financial management? (Choose two.)

Accepted Answer

Accounts payable. Accounts payable is a core financial management capability in Dynamics 365 Finance and Operations. It manages vendor invoices, payments, and expense tracking, ensuring accurate liability recording and timely disbursements. This module integrates directly with the general ledger to maintain financial integrity.

Answer

Field service

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Project management

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Warehouse management

Question 20

Which TWO features are available in Dynamics 365 Finance to support financial reporting and analysis?

Accepted Answer

Financial reporting. Financial reporting (Option B) is a core feature in Dynamics 365 Finance that provides out-of-the-box financial statements (e.g., balance sheet, income statement) using the Financial Reporting module, which leverages the financial dimensions and main accounts for customizable reporting. Business performance analytics (Option C) is a cloud-based, embedded analytics capability that offers pre-built KPIs, dashboards, and drill-through insights for real-time financial and operational analysis, directly supporting decision-making without requiring external tools.

Answer

Catalog management

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Production scheduling

Answer

Inventory valuation