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Describe Dynamics 365 FinancemediumMultiple ChoiceObjective-mapped

MB-920 Describe Dynamics 365 Finance Practice Question

A manufacturing company uses Dynamics 365 Finance and wants to automate the recognition of revenue for long-term contracts. Which module should they configure?

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

Revenue recognition

The Revenue recognition module in Dynamics 365 Finance is specifically designed for automating revenue recognition under standards like ASC 606 and IFRS 15. Option A is incorrect because Project management and accounting handles project-based costing but not revenue recognition by default. Option C is incorrect because Accounts receivable manages invoices and payments. Option D is incorrect because General ledger is the core accounting but lacks specialized revenue recognition features.

Answer analysis

Option-by-option breakdown

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

  • Project management and accounting

    Why it's wrong here

    Focuses on project costs, not revenue recognition.

  • Revenue recognition

    Why this is correct

    Dedicated module for automating revenue recognition.

  • Accounts receivable

    Why it's wrong here

    Manages invoices and collections, not revenue schedules.

  • General ledger

    Why it's wrong here

    Core accounting but no built-in revenue recognition automation.

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Written by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

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.