MB-920 AI-driven cash flow forecasting Practice Question
An organization using Dynamics 365 Finance implements AI-driven cash flow forecasting. What data source does the feature primarily use?
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
✓
Historical transaction data
The AI-driven cash flow forecasting feature in Dynamics 365 Finance primarily uses historical transaction data to predict future cash flows. Option B is incorrect because external bank account balances are not directly used; the feature relies on internal transaction history. Option C is incorrect because while vendor payment history is a component of historical transactions, the system primarily uses the broader set of historical transaction data, not just vendor payment history. Option D is incorrect because budget and forecast data are used for planning and analysis, not as the primary input for the AI-driven cash flow forecasting.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✓
Historical transaction data
Why this is correct
Correct. Historical transaction data is the primary input for AI-driven cash flow forecasting.
- ✗
External bank account balances
Why it's wrong here
Incorrect. External bank account balances are not directly used; the feature relies on internal transaction history.
- ✗
Vendor payment history
Why it's wrong here
Incorrect. Budget and forecast data are used for planning and analysis, not as the primary input for the AI-driven cash flow forecasting.
- ✗
Budget and forecast data
Why it's wrong here
Incorrect. While vendor payment history is a component of historical transactions, the system primarily uses the broader set of historical transaction data, not just vendor payment history.
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