MB-310 Practice Question: Implement and Manage Accounts Payable and Expenses
A retail company uses Dynamics 365 Finance to manage vendor payments. The AP manager notices that a vendor invoice for $10,000 was posted with a payment term of Net 30, but the vendor offers a 2% discount if paid within 10 days. The manager wants the system to automatically calculate and apply the discount when the payment proposal includes the invoice within the discount period. What should the manager configure on the vendor invoice?
⚠ Common exam trap
The trap here is treating a cash discount as a payment fee, when fees are additional charges and discounts are reductions defined through payment terms or invoice cash discount fields.
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
✓
Set the payment term to 2/10 Net 30 and ensure the Cash discount field on the invoice line is populated with the discount percentage and date.
Cash discounts are configured through payment terms such as 2/10 Net 30 and can be overridden at the invoice line level. When the payment proposal selects an invoice within the discount date, Dynamics 365 Finance automatically calculates the discount and reduces the payment amount, ensuring the company captures the 2% savings without manual calculation.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Create a separate vendor record for the discounted payments and assign the 2% discount as a default payment fee.
Why it's wrong here
Payment fees are charges added to a payment, not discounts subtracted from an invoice. Creating a separate vendor record would fragment the vendor's transaction history and does not leverage the cash discount functionality, so it fails to automatically apply the 2% discount when the invoice is paid within the discount period.
- ✗
Configure a vendor payment fee of -2% on the vendor record so that the payment proposal subtracts the discount from the payment amount.
Why it's wrong here
Vendor payment fees are positive charges, and negative fees are not a supported way to represent cash discounts. Using a payment fee would misstate the discount as a fee and would not properly track the discount taken, so it does not correctly implement the 2/10 Net 30 discount for the invoice.
- ✗
Enable the Cash discount administration parameter in Accounts payable parameters and set the discount grace period to 10 days.
Why it's wrong here
The Cash discount administration parameter controls whether cash discounts are managed centrally, but it does not by itself define the discount percentage or date for a specific invoice. Without the payment term or invoice-level cash discount setup, the system has no basis to calculate the 2% discount, so this configuration alone is insufficient.
- ✓
Set the payment term to 2/10 Net 30 and ensure the Cash discount field on the invoice line is populated with the discount percentage and date.
Why this is correct
In Dynamics 365 Finance, cash discounts are defined in the payment terms (for example, 2/10 Net 30) and can also be specified directly on the vendor invoice line via the Cash discount field. When the payment proposal includes the invoice within the discount date, the system automatically calculates and deducts the 2% discount, which is exactly what the manager needs.
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JA
Written and reviewed by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
Last reviewed September 2026 · checked against the official Microsoft exam blueprint
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