MB-310 Practice Question: Implement and Manage Accounts Payable and Expenses
Which TWO of the following are prerequisites for setting up a vendor payment run using the payment proposal feature? (Choose two)
⚠ Common exam trap
Candidates often include 'Vendor bank account' as a mandatory prerequisite. While useful, it is not strictly required for the proposal generation process, only for the actual payment generation.
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
✓
Invoices must have a due date that falls within the proposal criteria.
To generate a payment proposal, the system must have identified vendor invoices that are due or have a discount date approaching. Additionally, the payment method must be correctly configured to define the bank account and file format for the electronic payment. Properly setting up these parameters ensures that the system can accurately filter invoices and create batch payments that meet the organization's cash flow strategy.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Vendors must be marked as 'On hold' for payment.
Why it's wrong here
Marking a vendor as 'On hold' specifically prevents the system from generating payments for that entity. If a vendor is on hold, they will be excluded from the payment proposal regardless of whether they have open invoices that are due for payment during the selected period.
- ✓
Invoices must have a due date that falls within the proposal criteria.
Why this is correct
The payment proposal feature relies on due date filtering to identify which invoices require settlement. By specifying a date range, the user tells the system which invoices are eligible for payment, ensuring that only current liabilities are included in the generated payment journal during the batch process.
- ✓
A valid Method of payment must be assigned to the vendor or invoice.
Why this is correct
The Method of payment is critical because it dictates how the payment is made, including the specific bank account and payment format file (such as ACH or wire transfer). Without this configuration, the system cannot determine the appropriate account to draw funds from when proposing payments.
- ✗
The Vendor invoice must be posted with a 'Disputed' status.
Why it's wrong here
A 'Disputed' status is typically used to prevent payment on an invoice until the internal disagreement is resolved. If an invoice is marked as disputed, it will be excluded from the payment proposal, meaning it cannot be selected for settlement until the dispute flag is removed.
- ✗
The vendor must have a credit limit of zero.
Why it's wrong here
A credit limit is a risk management tool used in Accounts Receivable to prevent sales to customers with poor credit. It has no functional relationship with Accounts Payable payment proposals, where the company is the one paying out funds rather than receiving them from a customer.
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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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