Question 271 of 966

MB-920 Practice Question: Describe the core capabilities of the finance and operations apps

This MB-920 practice question tests your understanding of describe the core capabilities of the finance and operations apps. Read the scenario carefully and evaluate each option against the stated constraints before committing to an answer. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.

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

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Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

Financial dimensions are linked to main accounts.

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

Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • Financial dimensions are automatically derived from vendor master.

    Why it's wrong here

    Financial dimensions are set manually or via defaulting, not automatically derived from vendor.

  • Financial dimensions are linked to main accounts.

    Why this is correct

    Main accounts and financial dimensions together form the account structure.

    Related concept

    Read the scenario before looking for a memorised answer.

  • Financial dimensions are used only in the chart of accounts.

    Why it's wrong here

    Financial dimensions are used in account structures, not limited to chart of accounts.

  • Financial dimensions cannot be used with advanced rules.

    Why it's wrong here

    Advanced rules can include financial dimensions.

  • Financial dimensions can be used to create account structures.

    Why this is correct

    Account structures define valid combinations of main accounts and financial dimensions.

    Related concept

    Read the scenario before looking for a memorised answer.

Common exam traps

Common exam trap: answer the scenario, not the keyword

The trap here is that candidates often assume financial dimensions are only for the chart of accounts, but they are integral to account structures and advanced rules, which are key to configuring complex financial setups.

Detailed technical explanation

How to think about this question

Financial dimensions in Dynamics 365 Finance and Operations are stored as separate entities in the database, linked to main accounts via account structures. Advanced rules allow dynamic dimension combinations based on criteria like cost center or department, enabling flexible financial reporting without altering the core chart of accounts. For example, a company can set up a rule that automatically applies a specific department dimension when a certain cost center is selected.

KKey Concepts to Remember

  • Read the scenario before looking for a memorised answer.
  • Find the constraint that changes the correct option.
  • Eliminate answers that are true in general but not in this case.

TExam Day Tips

  • Watch for words such as best, first, most likely and least administrative effort.
  • Review why wrong options are wrong, not only why the correct option is correct.

Key takeaway

Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.

Real-world example

How this comes up in practice

A startup's cloud architect reviews their monthly bill and notices costs are higher than expected for a long-running batch job. Switching from on-demand instances to Reserved Instances — or using Spot/Preemptible VMs — can reduce compute costs by up to 72 %. Questions like this test whether you understand the tradeoffs between commitment, flexibility, and cost across cloud pricing models.

What to study next

Got this wrong? Here's your next step.

Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.

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FAQ

Questions learners often ask

What does this MB-920 question test?

Describe the core capabilities of the finance and operations apps — This question tests Describe the core capabilities of the finance and operations apps — Read the scenario before looking for a memorised answer..

What is the correct answer to this question?

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

What should I do if I get this MB-920 question wrong?

Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.

What is the key concept behind this question?

Read the scenario before looking for a memorised answer.

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Last reviewed: Jun 24, 2026

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This MB-920 practice question is part of Courseiva's free Microsoft certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the MB-920 exam.