- A
Position-based hierarchies
Why wrong: Position hierarchies define reporting structure, not leave accrual.
- B
Leave and absence plans
Leave and absence plans are used to define accrual rules, tiers, and carry-forward.
- C
Approval workflows for leave requests
Why wrong: Approval workflows manage the leave request process, not accrual rules.
- D
Compensation plans
Why wrong: Compensation plans handle salary and bonus, not leave accrual.
MB-920 Describe Dynamics 365 Human Resources Practice Question
This MB-920 practice question tests your understanding of describe dynamics 365 human resources. This is a configuration task: choose the command set that satisfies every stated requirement. Small differences — like 'secret' vs 'password' or 'transport input ssh' vs 'all' — change whether the answer is correct. 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 multinational company is implementing Dynamics 365 Human Resources. They need to ensure that employees in different countries can accrue leave based on local statutory requirements. The HR manager wants to automate the calculation of leave entitlements at the beginning of each fiscal year. Which feature 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
Leave and absence plans
Leave and absence plans in Dynamics 365 Human Resources allow organizations to define accrual rules, including rates, caps, and carry-forward policies, that can be tailored to local statutory requirements. These plans can be configured to automatically calculate and post leave entitlements at the start of each fiscal year, ensuring compliance with country-specific regulations without manual intervention.
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.
- ✗
Position-based hierarchies
Why it's wrong here
Position hierarchies define reporting structure, not leave accrual.
- ✓
Leave and absence plans
Why this is correct
Leave and absence plans are used to define accrual rules, tiers, and carry-forward.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
Approval workflows for leave requests
Why it's wrong here
Approval workflows manage the leave request process, not accrual rules.
- ✗
Compensation plans
Why it's wrong here
Compensation plans handle salary and bonus, not leave accrual.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates often confuse approval workflows (which handle the leave request lifecycle) with the automated accrual calculation feature, but the question specifically asks about calculating entitlements at the start of the fiscal year, which is a function of leave and absence plans, not workflows.
Detailed technical explanation
How to think about this question
Leave and absence plans support multiple accrual methods, such as monthly, annual, or per-pay-period, and can be linked to specific legal entities to enforce local statutory rules. Under the hood, the system uses a batch job to process accrual events at the configured interval, generating leave transactions that update employee balances automatically. A real-world scenario is a company with operations in Germany and France, where each country mandates different minimum annual leave days; separate leave and absence plans can be created per legal entity to enforce these rules.
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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Describe Dynamics 365 Human Resources — study guide chapter
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FAQ
Questions learners often ask
What does this MB-920 question test?
Describe Dynamics 365 Human Resources — This question tests Describe Dynamics 365 Human Resources — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Leave and absence plans — Leave and absence plans in Dynamics 365 Human Resources allow organizations to define accrual rules, including rates, caps, and carry-forward policies, that can be tailored to local statutory requirements. These plans can be configured to automatically calculate and post leave entitlements at the start of each fiscal year, ensuring compliance with country-specific regulations without manual intervention.
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 11, 2026
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