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Describe Dynamics 365 FinanceeasyMultiple ChoiceObjective-mapped

MB-920 Describe Dynamics 365 Finance Practice Question

A company uses Dynamics 365 Finance to manage its fixed assets. They have purchased a new piece of machinery and want to record it in the system. Which module should they use to create the fixed asset record?

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

Fixed assets

The Fixed assets module is used to manage asset records, depreciation, and disposal. Option A (Budgeting) handles budgets, not fixed assets. Option B (Inventory management) manages stock items, not fixed assets. Option D (General ledger) is for financial transactions and accounts, not asset records.

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 planning, not asset management.

  • Inventory management

    Why it's wrong here

    Inventory management deals with stock items, not fixed assets.

  • Fixed assets

    Why this is correct

    Fixed assets module manages asset records.

  • General ledger

    Why it's wrong here

    General ledger records financial transactions, not asset details.

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