Describe the core capabilities of the finance and operations apps →mediumMultiple ChoiceObjective-mapped
MB-920 Practice Question: Describe the core capabilities of the finance and operations apps
A finance manager needs to create a journal entry to record the monthly depreciation of fixed assets. The company uses Dynamics 365 Finance. Which journal type should be used?
⚠ Common exam trap
Many exam-takers confuse the General journal with the Fixed assets journal, assuming any journal can handle fixed asset transactions, but the General journal lacks the automated subledger updates and depreciation proposal functionality specific to fixed assets.
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 journal
The Fixed assets journal is specifically designed to record fixed asset transactions such as acquisitions, disposals, and depreciation. In Dynamics 365 Finance, this journal type automatically posts to the correct fixed asset ledger accounts and updates the asset's net book value, making it the appropriate choice for monthly depreciation entries.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Payment journal
Why it's wrong here
Payment journal is for vendor payments.
- ✗
Inventory journal
Why it's wrong here
Inventory journal is for inventory adjustments.
- ✓
Fixed assets journal
Why this is correct
This journal is designed for depreciation and other asset transactions.
- ✗
General journal
Why it's wrong here
General journal can be used but is not the recommended type for fixed assets.
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Senior Network & Security Engineer · founder of Courseiva
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