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Describe Dynamics 365 FinanceeasyMultiple ChoiceObjective-mapped

MB-920 Describe Dynamics 365 Finance Practice Question

You are a Dynamics 365 Finance administrator for a company that needs to manage fixed assets. The company purchases assets frequently and wants to automate the creation of fixed assets from purchase orders. When a purchase order for a fixed asset is invoiced, the system should automatically create a fixed asset record and post the acquisition cost. What should you 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

On the purchase order line, set the 'Fixed asset acquisition' type, and enable automatic fixed asset creation in Fixed assets parameters.

Setting the 'Fixed asset acquisition' type on purchase lines and enabling automatic creation in Fixed assets parameters automates asset creation from purchase orders. Option B is wrong because the asset inventory module is for tracking, not financial acquisition. Option C is wrong because manual creation is not automated. Option D is wrong because integration with Asset Management is not for financial acquisition.

Answer analysis

Option-by-option breakdown

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

  • On the purchase order line, set the 'Fixed asset acquisition' type, and enable automatic fixed asset creation in Fixed assets parameters.

    Why this is correct

    Correct: This automates asset creation from purchase orders.

  • Use the asset inventory module to track assets and post acquisition costs to a general ledger account.

    Why it's wrong here

    Incorrect: Asset inventory is for tracking, not acquisition.

  • Create fixed assets manually from the Fixed assets module and post the acquisition using a fixed asset journal.

    Why it's wrong here

    Incorrect: This is manual.

  • Set up integration between Dynamics 365 Finance and Dynamics 365 Asset Management to automatically create assets.

    Why it's wrong here

    Incorrect: Asset Management is for maintenance, not financial acquisition.

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Written by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

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