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MB-920 Practice Question: Describe the core capabilities of the finance and operations apps

Which THREE of the following are core capabilities of Dynamics 365 Finance?

⚠ Common exam trap

Test-takers frequently confuse the boundaries between Dynamics 365 apps—assuming inventory valuation and loyalty programs are part of Finance when they actually belong to Supply Chain Management and Commerce, respectively.

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

Fixed assets management

Fixed assets management is a core capability of Dynamics 365 Finance because it provides end-to-end lifecycle tracking of tangible assets—from acquisition and depreciation to disposal. The module supports multiple depreciation conventions (e.g., straight-line, declining balance) and integrates with the general ledger for automatic posting of asset transactions, ensuring accurate financial reporting and compliance with accounting standards like IFRS and GAAP.

Answer analysis

Option-by-option breakdown

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

  • Loyalty programs

    Why it's wrong here

    Loyalty programs are a capability of Dynamics 365 Commerce.

  • Fixed assets management

    Why this is correct

    Fixed assets management is a core capability of Finance.

  • General ledger

    Why this is correct

    General ledger is a core capability of Finance.

  • Accounts payable

    Why this is correct

    Accounts payable is a core capability of Finance.

  • Inventory valuation

    Why it's wrong here

    Inventory valuation is a capability of Supply Chain Management.

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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.