MB-920 Describe Dynamics 365 Finance Practice Question
You are a Dynamics 365 Finance functional consultant for a global retail chain that operates in multiple countries. The company uses Dynamics 365 Finance with a shared service center for accounts payable. They have a requirement to automatically route vendor invoices for approval based on the invoice amount and the vendor's credit limit. Invoices below $10,000 should be automatically approved if the vendor's credit limit is sufficient. Invoices above $10,000 must be approved by a manager. Additionally, invoices from new vendors must always be reviewed by the procurement team. The company uses the Vendor invoice automation feature. Requirements: 1) Automate invoice processing to reduce manual effort. 2) Ensure compliance with approval policies. 3) Use standard Dynamics 365 Finance configurations. Which configuration should you implement?
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 a vendor invoice workflow with conditional approvals based on amount and vendor status.
A vendor invoice workflow supports conditional approvals based on invoice amount and vendor status (e.g., credit limit, new vendor). This meets the requirement to automatically approve low amounts when credit is sufficient, route high amounts to a manager, and send new vendor invoices to procurement. Option A is incorrect because the Vendor invoice automation policy only auto-posts invoices without approval logic, which does not handle the conditional routing required. Option B is incorrect because the vendor invoice policy in Procurement and sourcing is used for defining approval thresholds but not for dynamic routing based on vendor status. Option C is incorrect because a payment hold rule only prevents payment, not invoice approval, and does not address amount-based routing. Therefore, D is the only option that fully satisfies the requirements using standard Dynamics 365 Finance configurations.
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 the Vendor invoice automation policy to automatically post invoices under $10,000 without approval.
Why it's wrong here
Automation policy does not enforce credit limit checks.
- ✗
Configure a vendor invoice policy in the Procurement and sourcing module.
Why it's wrong here
Invoice policy is not for approval routing.
- ✗
Set up a payment hold rule for invoices from new vendors.
Why it's wrong here
Payment hold does not route for approval.
- ✓
Create a vendor invoice workflow with conditional approvals based on amount and vendor status.
Why this is correct
Workflow can route invoices for approval based on amount and vendor attributes.
Go deeper
Related to this question
About these practice questions
This MB-920 question is part of Courseiva's 930-question bank — original exam-style content with full explanations and wrong-answer analysis, never real exam questions or exam dumps. Learn why practice questions differ from exam dumps →
JA
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.