Describe the core capabilities of the finance and operations apps →easyMultiple ChoiceObjective-mapped
MB-920 Practice Question: Describe the core capabilities of the finance and operations apps
A company uses Dynamics 365 Finance. They need to create a new fiscal year and close the previous year. Which module should they use?
⚠ Common exam trap
Many exam-takers confuse the General ledger module with other financial modules like Budgeting, thinking that fiscal year setup is a budgeting activity, when in fact it is a core General ledger configuration.
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
✓
General ledger
The General ledger module is the correct choice because fiscal year creation and year-end closing are core General ledger processes. In Dynamics 365 Finance, the General ledger module contains the fiscal calendar setup and the year-end close process, which transfers balances from the closing fiscal year to the new fiscal year's opening balances.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Budgeting
Why it's wrong here
Budgeting is for budget planning, not fiscal year setup.
- ✓
General ledger
Why this is correct
General ledger manages fiscal years and year-end close.
- ✗
Accounts payable
Why it's wrong here
Accounts payable handles vendor transactions, not fiscal year setup.
- ✗
Accounts receivable
Why it's wrong here
Accounts receivable handles customer transactions, not fiscal year setup.
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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.