Describe the core capabilities of the finance and operations apps →easyMultiple ChoiceObjective-mapped
MB-920 Practice Question: Describe the core capabilities of the finance and operations apps
You are a Dynamics 365 Finance consultant for a company that is implementing Dynamics 365 Finance. The company has a requirement to track expenses by project and by department. They plan to use financial dimensions. However, the finance team is unsure how to set up the dimensions to meet both reporting needs. They want to ensure that all transactions can be analyzed by both project and department. The company has 50 departments and 200 active projects. Which configuration should you recommend?
⚠ Common exam trap
Candidates often confuse financial dimensions with account structures, thinking that embedding dimensions into the main account is simpler, but they fail to realize that this creates an explosion of main accounts and loses the ability to analyze dimensions independently.
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
✓
Create separate financial dimensions for Project and Department. Assign both dimensions to all transactions.
Financial dimensions in Dynamics 365 Finance are designed to track multiple analytical categories independently. By creating separate dimensions for Project and Department and assigning both to all transactions, the company can report on expenses by either dimension or a combination of both, meeting the requirement without forcing a hierarchical or concatenated structure.
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 default dimensions on legal entity and override on each transaction.
Why it's wrong here
Default dimensions can be overridden but that adds complexity and is error-prone.
- ✗
Use account structures to embed department and project in the main account.
Why it's wrong here
Account structures are for chart of accounts, not for separate dimensions.
- ✓
Create separate financial dimensions for Project and Department. Assign both dimensions to all transactions.
Why this is correct
Two separate dimensions allow independent reporting on both project and department.
- ✗
Create one financial dimension that combines project and department as a single value.
Why it's wrong here
A single dimension would not allow separate analysis by project and department.
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