Question 325 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 global manufacturer uses Dynamics 365 Finance and Operations with multiple production sites. They need to manage complex bills of materials (BOMs) that include both manufactured and purchased components. They want to ensure that when a BOM is changed, the system automatically re-plans production orders and re-calculates material requirements. Which feature should they use?

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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

Master planning

Master planning in Dynamics 365 Finance and Operations is the correct feature because it automatically recalculates material requirements and regenerates planned production orders when a bill of materials (BOM) is changed. It uses demand-driven or MRP-based logic to explode the BOM, net available inventory, and create new planned orders for both manufactured and purchased components, ensuring supply matches updated demand across multiple production sites.

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.

  • Master planning

    Why this is correct

    Master planning can be set to automatically re-plan when BOM changes are detected, updating material and production requirements.

    Related concept

    Read the scenario before looking for a memorised answer.

  • Product configuration

    Why it's wrong here

    Product configuration is for variant-based products, not for re-planning on BOM changes.

  • Production control

    Why it's wrong here

    Production control manages shop floor execution, not automatic re-planning.

  • Inventory management

    Why it's wrong here

    Inventory management tracks stock levels, not BOM change impact.

Common exam traps

Common exam trap: answer the scenario, not the keyword

The trap here is that candidates often confuse production control (which handles order execution) with master planning (which handles automated re-planning), leading them to select production control because they think it 'controls' production changes, but it lacks the MRP engine for automatic requirement recalculation.

Detailed technical explanation

How to think about this question

Master planning in Dynamics 365 uses a deterministic MRP engine that performs a net requirements calculation by exploding the BOM, considering on-hand inventory, safety stock, and existing supply orders. When a BOM is changed, the system can trigger a regeneration of planned orders via the 'Coverage' setup and 'Action messages' feature, which automatically suggests rescheduling or creating new orders without manual intervention. In a multi-site scenario, master planning respects site-specific coverage groups and BOM versions, ensuring that re-planning occurs only for the affected site and product.

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 cloud solutions architect for a retail company is evaluating services for a new workload. The correct answer here reflects best practice for the specific scenario described — not a general cloud recommendation. Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option. Cloud exam questions reward reading the constraint carefully: the same technology can be right or wrong depending on the use case.

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: Master planning — Master planning in Dynamics 365 Finance and Operations is the correct feature because it automatically recalculates material requirements and regenerates planned production orders when a bill of materials (BOM) is changed. It uses demand-driven or MRP-based logic to explode the BOM, net available inventory, and create new planned orders for both manufactured and purchased components, ensuring supply matches updated demand across multiple production sites.

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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