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 manufacturing company uses Dynamics 365 Finance. They need to automate the process of reordering raw materials when inventory falls below a predefined level. Which core capability should they use?
⚠ Common exam trap
Watch out — candidates often confuse demand forecasting (which provides input) with the actual execution mechanism (replenishment rules) that triggers the reorder action.
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
✓
Replenishment rules
Replenishment rules in Dynamics 365 Finance allow you to define automatic reordering logic based on predefined inventory levels, such as minimum and maximum stock quantities. This capability directly addresses the requirement to trigger purchase orders or transfer orders when raw materials fall below a threshold, without manual intervention.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Inventory counting
Why it's wrong here
Inventory counting is used for physical inventory audits, not automated reordering.
- ✗
Demand forecasting
Why it's wrong here
Demand forecasting predicts future demand but does not automatically trigger purchase orders.
- ✓
Replenishment rules
Why this is correct
Replenishment rules in Supply Chain Management can automatically create purchase orders when inventory falls below a set level.
- ✗
Vendor collaboration
Why it's wrong here
Vendor collaboration facilitates communication with suppliers but does not automate reordering.
Go deeper
Related to this question
About these practice questions
This MB-920 question is part of Courseiva's 930-question bank — original exam-style content with full explanations and wrong-answer analysis, never real exam questions or exam dumps. Learn why practice questions differ from exam dumps →
JA
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.