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Describe Dynamics 365 Supply Chain ManagementhardMultiple ChoiceObjective-mapped

MB-920 Describe Dynamics 365 Supply Chain Management Practice Question

Exhibit

{
  "ItemNumber": "P-1000",
  "Warehouse": "WH01",
  "Location": "BULK-01",
  "OnHandQuantity": 0,
  "ReservedQuantity": 0,
  "AvailableQuantity": 0,
  "InventoryStatus": "Available"
}

Refer to the exhibit. A warehouse manager runs the on-hand inventory report for item P-1000 in warehouse WH01. The report shows zero on-hand quantity but the inventory status is 'Available'. The manager knows that there should be 500 units in stock based on a recent purchase order receipt. What is the most likely cause of this discrepancy?

⚠ Common exam trap

Candidates often confuse the 'Available' inventory status with actual on-hand quantity, assuming 'Available' implies stock exists, when in Dynamics 365 'Available' is a default status that can be assigned even with zero quantity until a warehouse registration is completed.

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

The purchase order receipt has not been registered in the warehouse

The most likely cause is that the purchase order receipt has not been registered in the warehouse (Option A). In Dynamics 365 Supply Chain Management, inventory status is set to 'Available' by default when an item is created or received, but the on-hand quantity only updates after the receipt is physically registered against the warehouse. Since the manager sees zero on-hand quantity despite knowing 500 units were received, the receipt transaction likely exists in the system but hasn't been posted to the warehouse inventory, leaving the quantity unrecorded.

Answer analysis

Option-by-option breakdown

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

  • The purchase order receipt has not been registered in the warehouse

    Why this is correct

    Without registration, on-hand quantity is not updated; status remains 'Available' from earlier setup.

  • The item is stored in a different location

    Why it's wrong here

    The location is specified as BULK-01; other locations would not affect this record.

  • The item is reserved for a sales order

    Why it's wrong here

    Reserved quantity would appear in the ReservedQuantity field.

  • The item is on a quality order

    Why it's wrong here

    If on quality order, inventory status would be 'Quarantine' or 'Blocked'.

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