Microsoft Microsoft Certifications MB-310 Questions & Answers

• Question 21:

  DRAG DROP

  A company is implementing Microsoft Dynamics 365 Finance.

  The company is configuring depreciation for company vehicles. Vehicles must be depreciated by using straight-line service life on the 15th day of each month.

  You need to configure vehicle depreciation.

  What should you useTo answer, drag the appropriate features to the correct requirements. Each feature may be used once, more than once, or not at all. You may need to drag the split bar between panes or scroll to view content.

  NOTE: Each correct selection is worth one point.

  Select and Place:

  

  Correct Answer:

  

  Box 1: Method

  When you set up a fixed asset depreciation profile and select Straight line service life in the Method field in the Depreciation profiles page, the assets that have this depreciation profile assigned to them are depreciated based on the total

  service life of the asset. This generally is the same depreciation amount in each depreciation period.

  Box 2: Convention

  Depreciation conventions are used to determine when and how depreciation is calculated for both the year when the fixed asset is acquired and the year when the fixed asset is disposed of.

  Example: Mid month (15th of month)

  Reference:

  https://docs.microsoft.com/en-us/dynamics365/finance/fixed-assets/straight-line-service-life-depreciation https://docs.microsoft.com/en-us/dynamics365/finance/fixed-assets/fixed-asset-depreciation-conventions

• Question 22:

  DRAG DROP

  A company uses Dynamics 365 Finance to manage the budget planning process.

  The company wants to create a new budget planning process while using the existing budget planning configuration.

  You need to create and configure a working budget planning process.

  In which order should you perform the actionsTo answer, move all actions from the list of actions to the answer area and arrange them in the correct order.

  Select and Place:

  

  Correct Answer:

  

  Example: Create a budget planning process

  Julia needs to create and activate a new budget planning process combining all the setup above to start entering budget plans. Budget planning process defines what budgeting organizations, workflow, layouts and templates will be used for creating budget plans.

  6.1. Navigate to Budgeting > Setup > Budget planning > Budget planning process, and create a new record. Budget planning process DEMF budgeting FY2016

  Budget cycle FY2016

  Ledger DEMF Default account structure Manufacturing PandL Organization hierarchy pick the hierarchy created in the beginning of the lab Budget planning workflow assign Auto Approve workflow for Finance department In budget planning stage rules and templates, for each workflow Budget planning stage pick if Adding lines and Modifying lines is allowed and what Layout should be used by default Note: You can create additional document layouts and assign them to be available in budget planning workflow stage by clicking Alternate layouts button. Alternate layouts.

  6.2. Select Actions > Activate to activate this budget planning workflow.

  Reference: https://docs.microsoft.com/en-us/dynamics365/finance/budgeting/budget-plan

• Question 23:

  DRAG DROP

  You have implemented Dynamics 365 Finance.

  You must implement interest fees to encourage customers to pay on time.

  You need to configure interest fees.

  Which functionality should be configured? To answer, drag the appropriate functionality to the correct scenario. Each functionality may be used once, more than once, or not at all. You may need to drag the split bar between panes or scroll to

  view content.

  NOTE: Each correct selection is worth one point.

  Select and Place:

  

  Correct Answer:

  

  Box 1: Credit note

  You use the Create credit note page to prepare a credit note for a customer when the customer returns items that have been ordered and received. A credit note is an invoice with a negative amount.

  Box 2: Interest note.

  An interest note is a business document that informs customers when interest or fees have been charged to their account. When you waive or reverse interest or fees, a credit note or adjustment invoice is automatically created to settle the

  charges.

  Reference:

  https://docs.microsoft.com/en-us/dynamicsax-2012/appuser-itpro/prepare-a-credit-note

  https://docs.microsoft.com/en-us/dynamics365/finance/accounts-receivable/waive-reinstate-reverse-interest-fees

• Question 24:

  DRAG DROP

  You are implementing Dynamics 365 Finance.

  You must track freight charges. Freight amounts must be included in the vendor invoice amount and the expense recorded in a ledger account defined for Freight.

  You need to configure the Accounts payable charges.

  How should you set up the chargesTo answer, drag the appropriate posting type to the correct account type. Each posting type may be used once, more than once, or not at all. You may need to drag the split bar between panes or scroll to

  view content.

  NOTE: Each correct selection is worth one point.

  Select and Place:

  

  Correct Answer:

  

  Box 1: Item

  Two configurations for Accounts payable charges codes on the Charges code page (Accounts payable > Charges setup > Charges code) can cause a purchase order to affect the valuation of inventory assets:

  For charges codes where the Debit type field is set to Item and the Credit type field is set to Ledger account, the ledger account that is selected as the absorption account acts as a stock variation account.

  For charges codes where the Debit type field is set to Item and the Credit type field is set to Customer/Vendor, the charge will be accounted as material cost, and the stock variation account of the item will be used.

  European special accounting rule

  Box 2: Ledger account

  Reference:

  https://docs.microsoft.com/en-us/dynamics365/supply-chain/cost-management/post-to-charge-account-accounting-principle

• Question 25:

  DRAG DROP

  You are configuring Microsoft Dynamics 365 Finance. Your company sells televisions, radios, and warranties. Televisions are considered the primary revenue source. You enter a sales order and add the three products. A discount is applied on the order.

  Televisions must have a fixed price for revenue recognition. The revenue of warranties must be allocated to all televisions. Any remaining discount can be applied by using the radios. Released products must be configured so that applied discounts will have the requested impact on the revenue recognition.

  You need to configure the released products.

  Which revenue type should you useTo answer, drag the appropriate revenue type to the correct products. Each revenue type may be used once, more than once, or not at all. You may need to drag the split bar between panes or scroll to view content.

  NOTE: Each correct selection is worth one point.

  Select and Place:

  

  Correct Answer:

  

  Box 1: Nonessential

  Nonessential The item isn't a primary source of an organization's revenue. When the median price settings are used, the price is 'carved out' to the median price and then allocated.

  Box 2: Essential

  Essential The item is a primary source of an organization's revenue. This value is the default setting.

  Box 3: Post contract support (PCS)

  Post contract support The item supports other elements that are included in the sale to the customer. The revenue price is distributed across the essential and nonessential products that are included in the sale. Depending on setup, PCS

  items might not require that contract start and end dates be defined on the sales order line.

  Reference:

  https://docs.microsoft.com/en-us/dynamics365/finance/accounts-receivable/revenue-recognition-setup

• Question 26:

  DRAG DROP

  A company is implementing Dynamics 365 Finance.

  The company needs the ability to handle deferring revenue, reallocations, revenue schedules, and milestone-based recognition.

  You need to configure the functionality.

  What should you doTo answer, drag the appropriate functionality to the correct requirement. Each functionality may be used once, more than once, or not at all.

  You may need to drag the split bar between panes or scroll to view content.

  NOTE: Each correct selection is worth one point.

  Select and Place:

  

  Correct Answer:

  

  Box 1: Revenue schedule

  In general, the revenue recognition process can be used to perform these tasks:

  Allocate revenue, to help ensure that the appropriate revenue price is recognized, based on the value of the components on multi-element orders.

  Defer revenue, based on a revenue schedule that represents the contractual time frame and percentages for recognizing revenue over time.

  Box 2: Revenue recognition journals

  A new journal type has been introduced for revenue recognition. The journal is required and is used in two scenarios.

  The first scenario occurs.

  The second scenario occurs when a journal is created after reallocation occurs. Reallocation occurs when a sales order line is added to a previously invoiced sales order, or when a new sales order is created that includes a line that is part of

  the original contract. If an invoice was posted before the new sales order line is added, a correcting accounting entry must be created for the posted customer invoice.

  Reference:

  https://docs.microsoft.com/en-us/dynamics365/finance/accounts-receivable/revenue-recognition-overview

  https://docs.microsoft.com/en-us/dynamics365/finance/accounts-receivable/revenue-recognition-setup

• Question 27:

  DRAG DROP

  A company that sells computer equipment uses Microsoft Dynamics 365 Finance. The company is creating bundles that include a computer and a three-year warranty.

  The company configures revenue recognition.

  You need to configure revenue types for the bundle components.

  Which revenue type should you useTo answer, drag the appropriate revenue types to the correct components. Each revenue type may be used once, more than once, or not at all. You may need to drag the split bar between panes or scroll to view content.

  NOTE: Each correct selection is worth one point.

  Select and Place:

  

  Correct Answer:

  

  Box 1: Essential

  Essential The item is a primary source of an organization's revenue. This value is the default setting.

  Box 2: Post contract support (PCS)

  Post contract support The item supports other elements that are included in the sale to the customer. The revenue price is distributed across the essential and nonessential products that are included in the sale. Depending on setup, PCS

  items might not require that contract start and end dates be defined on the sales order line.

  Reference:

  https://docs.microsoft.com/en-us/dynamics365/finance/accounts-receivable/revenue-recognition-setup

• Question 28:

  DRAG DROP

  You manage customer credit and collections in a Dynamics 365 Finance implementation.

  At the beginning of each month, you must send collection letters to customers whose payments are overdue.

  You need to configure the collection letter functionality.

  Which four actions should you perform in sequence

  To answer, move the appropriate actions from the list of actions to the answer area and arrange them in the correct order.

  Select and Place:

  

  Correct Answer:

  

  Step 1: Define the collection letter sequence.

  Set up a collection letter sequence on the posting profile

  Step 2: Link the collection letter sequence to a customer profile.

  Step 3: Post the collection letter.

  See step 9 below.

  Print collection letters

  1.

  Go to navigation pane > Modules > Credit and collections > Collection letter > Review and process collection letters.

  2.

  In the Status field, select Created.

  3.

  In the Printed field, select Not printed.

  4.

  Select Print.

  5.

  Select Collection letter note.

  6.

  In the Parameters section, enter the cutoff date for postings.

  7.

  Expand the Records to include section and enter the details of the Collection letter note.

  8.

  Select OK to print the collection letter.

  9.

  Post the collection letter. Etc.

  Step 4: Generate the collection letter.

  Each collection letter is also associated with a collection letter code. The collection letter code is associated with individual transactions and is used to determine when the next collection letter should be generated for each transaction. For

  example, if a transaction is more than 30 days overdue, the collection letter code determines that the next collection letter will be sent when the transaction becomes 60 days overdue, if it isn't paid before then.

  Reference:

  https://docs.microsoft.com/en-us/dynamics365/finance/accounts-receivable/tasks/process-collection-letters

• Question 29:

  DRAG DROP

  You have implemented Dynamics 365 Finance.

  You must configure revenue recognition to handle deferring revenue and revenue reallocation.

  You need to configure the posting profile.

  What should you doTo answer, drag the appropriate posting profiles to the correct scenario. Each posting profile may be used once, more than once, or not at all. You may need to drag the split bar between panes or scroll to view content.

  NOTE: Each correct selection is worth one point.

  Select and Place:

  

  Correct Answer:

  

  Box 1: Deferred revenue

  Deferred revenue Enter the main account for the revenue price that posts to deferred revenue (instead of revenue). The revenue price is deferred if the sales order line has a revenue schedule.

  Box 2: Partial invoice revenue clearing

  Partial invoice revenue clearing Enter the main account for the clearing account that is used either when the sales order is partially invoiced or when reallocation occurs. The balance in this account returns to 0 (zero) when the sales orders are

  fully invoiced.

  Incorrect:

  Deferred cost of goods sold Enter the main account for the cost of goods sold amount that posts to deferred cost of goods sold if the revenue is also deferred.

  Reference:

  https://docs.microsoft.com/en-us/dynamics365/finance/accounts-receivable/revenue-recognition-setup

• Question 30:

  DRAG DROP

  You are implementing Dynamics 365 Finance.

  You must associate items with an item model group. An inventory close must not be required.

  You need to configure the item model group.

  Which costing method should you useTo answer, drag the appropriate costing method to the correct system behavior. Each costing method may be used once, more than once, or not at all. You may need to drag the split bar between panes

  or scroll to view content.

  NOTE: Each correct selection is worth one point.

  Select and Place:

  

  Correct Answer:

  

  Box 1: Standard cost

  Standard costs are estimates of the cost of goods sold -- that is, the cost required to produce your products. They usually consist of three parts: direct materials, direct labor, and manufacturing overhead.

  Box 2: Moving average

  Moving average is a perpetual costing method based on the average principle, where the costs on inventory issues do not change when the purchase cost does.

  Incorrect:

  *

  Weighted average is an inventory model based on an average that results from the multiplication of each component (item transaction) by a factor (cost price) reflecting its importance (quantity). Another way to say this is that weighted

  average is an inventory model that assigns the cost of issue transactions based on the mean value of all inventory received during the period, plus any on-hand inventory from the previous period.

  *

  First in, First out (FIFO) is an inventory model in which the first acquired receipts are issued first. Financially updated issues from inventory are settled against the first financially updated receipts into inventory, based on the financial date of

  the inventory transaction.

  Reference:

  https://www.fool.com/the-ascent/small-business/accounting/articles/standard-cost/ https://docs.microsoft.com/en-us/dynamics365/supply-chain/cost-management/moving-average