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Describe Dynamics 365 FinancemediumMultiple ChoiceObjective-mapped

MB-920 Describe Dynamics 365 Finance Practice Question

An organization is migrating to Dynamics 365 Finance and needs to ensure that historical financial data from the legacy system is preserved for reporting. What is the recommended approach?

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

Use data migration tools to import historical data into Dynamics 365 Finance.

Dynamics 365 Finance provides data migration tools that allow importing historical financial data from legacy systems, preserving details for reporting. Option B is wrong because manual re-entry is inefficient and error-prone. Option C is wrong because migrating only summary balances loses transactional detail needed for reporting. Option D is wrong because maintaining the legacy system is costly and does not leverage the new system's capabilities.

Answer analysis

Option-by-option breakdown

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

  • Use data migration tools to import historical data into Dynamics 365 Finance.

    Why this is correct

    Data migration tools efficiently bring historical data into the new system.

  • Re-enter all historical transactions manually.

    Why it's wrong here

    Manual re-entry is time-consuming and error-prone.

  • Only migrate summary balances for prior periods.

    Why it's wrong here

    Summaries lose transaction details needed for reporting.

  • Maintain the legacy system for historical reporting.

    Why it's wrong here

    This defeats the purpose of migration.

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