Microsoft Microsoft Certifications MB-310 Questions & Answers

• Question 81:

  HOTSPOT

  A company implements expense management in Dynamic employee travel expenses. The current per diem setup on the Expense management parameters page is as follow:

  

  Use the drop-down menus to select the answer choice that that answers each question based on the information presented in the graphic.

  Hot Area:

  

  Correct Answer:

  

  Explanation:

  Box 1: Set Reduction in percentage for breakfast to 15

  *

  Reduction in percentage for breakfast

  Enter the amount that the per diem is reduced by for breakfast. For example, if an employee receives a complimentary breakfast, you might want to reduce the amount of the per diem by 10 percent.

  Box 2: Set Minimum hours for per diem to 4 and Other percent to 50

  *

  Minimum hours for per diem

  Enter the default minimum number of hours that an employee must work in a day to be eligible to receive a per diem for travel-related expenses. This value is used as a default value only for the Minimum hours field for per diem rate tiers.

  *

  Other percent

  Enter the default percentage of the per diem for miscellaneous expenses that is used on the first and last days of the travel-related expense. The workday on the first and last days might be shorter than a standard workday. Therefore, the

  amount of the per diem on those days might differ from the standard amount. If the percentage is set to 0 (zero), the deductions for the first and last days will be 0.00.

  Reference: https://learn.microsoft.com/en-us/dynamics365/project-operations/expense/configure-expense-management-parameters

• Question 82:

  HOTSPOT

  A company is implementing Microsoft Dynamics 365 Finance.

  The company is implementing the Fixed asset module and requires the following configuration:

  Set the threshold for fixed asset acquisitions at $10,000. Fixed asset acquisitions must be allowed from purchasing.

  You need to configure the system.

  Which parameter should you use? To answer, select the appropriate options in the answer area.

  NOTE: Each correct selection is worth one point.

  Hot Area:

  

  Correct Answer:

  

  Explanation:

  Box 1: Capitalization threshold

  Capitalization threshold - Enter the capitalization threshold amount to use as the default value for fixed asset groups.

  The Capitalization threshold field determines the assets that are depreciated. If a purchase line is selected as a fixed asset, but it doesn't meet the specified capitalization threshold, a fixed asset is still created or updated, but the Calculate

  depreciation option is set to No. Therefore, the asset won't be automatically depreciated as part of the depreciation proposals.

  Incorrect:

  * Consider capitalization threshold

  Select this check box to require that the system verify that the acquisition price of an asset on an Accounts payable invoice meets or exceeds the amount needed to depreciate the asset.

  For example, suppose a fixed asset group has a capitalization threshold of 2,500. When you post an invoice with an asset in that group, the system can verify that the acquisition transaction that is created has an acquisition price of at least

  2,500. The Depreciationcheck box in the value model of the asset will be selected automatically if the acquisition price meets the threshold.

  Box 2: Allow asset acquisition from purchasing

  Methods for manually creating fixed assets

  When you post a vendor invoice that has a fixed asset number entered in the lines, if the Allow asset acquisition from Purchasing option is selected in the Fixed assets parameters page, the acquisition is posted automatically, and the status of

  the asset changes to Open.

  Note: Acquisition Fixed Asset from Purchasing before Invoicing in Dynamics 365 Finance.

  First, create a purchase order with New Fixed Asset ticked and put the Asset Group at the PO Line details at Fixed Assets tab.

  Incorrect:

  * Check for fixed asset creation during line entry

  Reference: https://learn.microsoft.com/en-us/dynamics365/finance/fixed-assets/set-up-fixed-assets https://www.linkedin.com/pulse/acquisition-fixed-asset-from-purchasing-before-invoicing-kusman-lim?trk=articles_directory

• Question 83:

  A company uses Dynamics 365 Finance to manage fixed assets. The company uses a legal entity for accounting and a legal entity for tax purposes. The company has 15 different fixed asset groups.

  The company creates a new fixed asset group named Conveyor. You create a new fixed asset that uses the Conveyor fixed asset group. The fixed asset is not associated with a legal entity.

  You need to ensure that both legal entities are associated with new fixed assets that you create for the Conveyor group.

  What should you configure?

  A. a fixed asset posting profile

  B. a group book setup

  C. a new fixed asset book

  D. a new depreciation profile

  Correct Answer: C

  Reference: https://learn.microsoft.com/en-us/dynamics365/finance/fixed-assets/set-up-fixed-assets

• Question 84:

  You are migrating data from a legacy system to Dynamics 365 Finance.

  The legacy customer master data does not include a customer grouping. Customers must be assigned to a group.

  You need to configure the posting profile.

  What should you set up?

  A. an interest code for a group of customers

  B. a revenue account for sales orders transactions for a group of customers

  C. terms of payment for a group of customers

  D. a payable account for specific customers

  Correct Answer: D

  Explanation:

  Specify the following values to set up your posting profile.

  *

  Account code

  Specify whether the posting profile applies to a single customer, a group of customers, or all customers:

  Table

• Question 85:

  HOTSPOT

  A company implements basic budgeting functionality The company wants to achieve the following:

  Distribute budget amounts across financial dimensions.

  Require an approval workflow for budget

  Approve a specific set of budget entries.

  You need to configure the required basic budgeting functionality.

  Which functionalities should you configure?

  To answer, select the appropriate options in the answer area NOTE: Each correct answer is worth one point.

  Hot Area:

  

  Correct Answer:

  

• Question 86:

  HOTSPOT

  A company implemented Dynamics 365 Finance less than a year ago. A departments have exceeded their fiscal year budgets.

  The following business rules must be implemented to keep the company's spending on budget.

  Operations must be allowed to exceed budget.

  Marketing must receive warnings when they are over budget.

  Sales mast not exceed its budget.

  All departments must have a calculation in place to determine what they can spend.

  Budget funds do not need to be recorded in the general ledger.

  You need to configure budget controls.

  Which configuration option should you use? To answer, select the appropriate options in the answer area.

  NOTE: Each correct selection is worth one point.

  Hot Area:

  

  Correct Answer:

  

  Explanation:

  Box 1: Over budget permissions

  Operations must be allowed to exceed budget.

  Over budget permissions

  On the Over budget permissions tab, you can specify user groups. You can also specify whether users who are members of a group have permission to exceed the budget. You can prevent users from exceeding the budget past the budget

  threshold that was set on the Budget parameters page, or you can prevent them from exceeding the budget by any amount, regardless of the threshold. Depending on how proactively an organization manages its spending, these permissions

  can help it manage its financial resources.

  Box 2: Message levels

  Marketing must receive warnings when they are over budget.

  Define message levels

  If budget control warning messages should be suppressed for any user groups, you can specify those groups on the Define message levels page. Members of the user groups will continue to receive error messages when they exceed the

  available budget funds, based on their over-budget permissions.

  Box 3: Budget reservations for pre-encumbrances

  Sales mast not exceed its budget.

  Budget reservations for pre-encumbrances

  Budget reservations that are created for approved and confirmed purchase requisitions, and budget register entries that have a status of Completed and use the Pre-encumbrance budget type.

  Incorrect:

  * Budget reservations for encumbrances

  Budget reservations that are created for confirmed purchase orders, general budget reservations, or travel requests, and budget register entries that have a document status of Completed and use the Encumbrance budget type.

  Box 4: Budget funds available

  All departments must have a calculation in place to determine what they can spend.

  Budget funds do not need to be recorded in the general ledger.

  Budget funds available

  On the Budget funds available tab, you can define the formula that is used to calculate available budget funds. Depending on how conservatively an organization manages its financial resources, or depending on regulations or industry

  requirements, the calculation can include draft or unposted documents.

  Reference:

  https://learn.microsoft.com/en-us/dynamics365/finance/budgeting/budget-control-overview-configuration

  https://learn.microsoft.com/en-us/dynamicsax-2012/appuser-itpro/set-up-budget-control

• Question 87:

  HOTSPOT

  A company implements basic budgeting functionality in Dynamics 365 Finance.

  The company has 6-digit mam account numbers. Two account structures are used as follows:

  Profit and loss, which includes main account for revenue and expense account.

  Balance sheet, which includes main account for asset liability, and equity.

  The accounts start with the following numbers:

  Asset: 1

  Liability: 2 Equity: 3 Revenue: 4 Cost of goods sold: 5 Selling expense: 6 Administration expense: 7 Other Income and expense: 8

  The company allows budget transfers only between the selling expense account and revenue accounts.

  You need to configure a budget transfer rule for the selling expense account.

  What should you configure?

  To answer, select the appropriate option in the answer area.

  NOTE: Each correct answer is worth one point.

  Hot Area:

  

  Correct Answer:

  

• Question 88:

  HOTSPOT

  A company implements Dynamics 365 Finance. The company has six departments for budget planning purposes.

  The company is budget planning and requires the following scenarios:

  A previous year budgeted scenario will be generated by the finance department.

  The baseline scenario will be generated based on the previous year budget scenarios with some increase.

  A baseline scenario will be sent to each department to review.

  Department requested scenarios will be keyed in by a department manager based on their review of the baseline scenario.

  Department requested scenarios will be aggregated back to the finance department, so finance can see the total budget requested.

  Finance will approve the final budget in Department approved scenario.

  You need to configure allocation schedules to populate a baseline column for each department in the review process.

  How should you configure budget planning? To answer, select the appropriate options in the answer area.

  NOTE: Each correct selection is worth one point.

  Hot Area:

  

  Correct Answer:

  

  Explanation:

  Box 1: Distribute

  Finance will approve the final budget in Department approved scenario.

  Distribute – The budget plan lines are distributed from the source budget planning scenario in the parent budget plan to the destination scenario in the associated (child) budget plans, based on the financial dimensions of the organization units

  of the associated plans. This method enables budget amounts that are prepared at a higher level in the organization to be spread out for more localized review.

  Box 2: Previous year budgeted

  A previous year budgeted scenario will be generated by the finance department.

  The baseline scenario will be generated based on the previous year budget scenarios with some increase.

  Box 3: Department requested

  A baseline scenario will be sent to each department to review.

  Department requested scenarios will be keyed in by a department manager based on their review of the baseline scenario.

  Department requested scenarios will be aggregated back to the finance department, so finance can see the total budget requested.

  Box 4: 6.00

  The company has six departments for budget planning purposes.

  Multiply by – Enter a value by which to multiply the currency amounts or quantities for the budget plan lines.

  Reference:

  https://learn.microsoft.com/en-us/dynamics365/finance/budgeting/budget-planning-data-allocation#allocation-methods

  https://learn.microsoft.com/en-us/dynamics365/finance/budgeting/budget-planning-overview-configuration

• Question 89:

  HOTSPOT

  You need to prevent prohibited expenses from posting.

  Which configurations should you use? To answer, select the appropriate options in the answer area

  NOTE: Each correct selection is worth one point.

  Hot Area:

  

  Correct Answer:

  

  Explanation:

  Box 1: Live-level validation

  Expense report entries must be validated when a transaction line is entered.

  Box 2: Aggregate

  Client entertainment expenses totaling more than $250 must be audited.

• Question 90:

  HOTSPOT

  A company uses Microsoft Dynamics 365 Finance to manage their computer hardware and support services.

  A customer purchases the following three items on a sales order:

  laptop

  two tutoring sessions for use within the first year after purchase

  one-year warranty

  Which item should you consider for the revenue recognition process? To answer, select the appropriate options in the answer area.

  NOTE: Each correct selection is worth one point.

  Hot Area:

  

  Correct Answer:

  

  Explanation:

  Box 1: Laptop

  There are two concepts for revenue recognition:

  Determine the revenue price. The revenue price is calculated based on the setup of the released products. The revenue price is never shown to the customer but is used only for the accounting of the sales order invoice. The sales order lines

  and the documents that are printed as part of the sale continue to show the unit/list price.

  Determine when revenue recognition should occur. A revenue schedule is used to determine when revenue should be recognized.

  Box 2: Tutoring sessions

  Revenue schedules

  A revenue schedule must be created for each occurrence that revenue can be deferred for. For example, if your organization offers support over six-month, 12-month, 18-month, and 24-month periods, you must create a revenue schedule for

  each period. The setup of the revenue schedule determines how the revenue price is allocated across the number of periods that you select. It also determines the default dates that are entered for the revenue schedule that is created when

  the invoice is posted.

  Reference:

  https://learn.microsoft.com/en-us/dynamics365/finance/accounts-receivable/revenue-recognition-so-basics

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