HOTSPOT -
You need to identify why the sales orders were sent to customers.
Which configuration allowed the sales orders to be sent? To answer, select the appropriate configuration in the answer area.
NOTE: Each correct selection is worth one point.
Hot Area:
 

HOTSPOT -
You are asked to configure foreign currency revaluation in Dynamics 365 Finance.
You are viewing the main accounts.
 
Use the drop-down menus to select the answer choice that answers each question based on the information presented in the graphic.
NOTE: Each correct selection is worth one point.
Hot Area:
 

You are configuring the Fixed assets module for a Dynamics 365 Finance environment.
You need to create a fixed asset.
Which two settings are required? Each correct answer presents part of the solution.
NOTE: Each correct selection is worth one point.

A. the property type

B. the group

C. the number sequence

D. the type

E. the name

A company provides employee life insurance to all full-time employees. Employee life insurance policies are paid twice a year to the insurance company.
Transactions for current employees must be recognized in the general ledger twice a month with an employee's pay. Transactions for new employees must be recognized in the general ledger based upon the employee's first pay date.
You need to configure accrual schemes for the new fiscal year.
Which two configurations should you use? Each correct answer presents part of the solution.
NOTE: Each correct selection is worth one point.

A. For new employees, use a Credit accrual scheme. In the ledger accrual, set the offset to the first day of the fiscal year.

B. For current employees, use a Credit accrual scheme. In the ledger accrual, set the offset to the employee’s first pay date.

C. For new employees, use a Debit accrual scheme. In the ledger accrual, set the offset to the employee’s first pay date.

D. For current employees, use a Debit accrual scheme. In the ledger accrual, set the offset to the first day of the fiscal year.

A company uses Microsoft Dynamics 365 Finance to manage fixed assets.
The company uses laptops for three years and then sells the laptops externally.
You need to process laptop sales.
What should you do?

A. Create a fixed asset disposal journal.

B. Use a free text invoice to record the sale.

C. Create a sales order for the sale of the asset.

D. Use an inventory movement journal to record the disposal.

HOTSPOT
-
A company manufactures and installs units for industrial manufacturing plans.
Revenue for the units recognized based on a median price when the unit install. A three-year warranty is sold with each unit. Revenue for the warranty is recognized equally in each year the warranty covers.
You need to configure and process revenue recognition.
Which parameter should you configure? To answer select he appropriate options in the answer area.
NOTE: Each correct selection is worth one point.
 

HOTSPOT -
You need to ensure accounting entries are transferred from subledgers to general ledgers.
How should you configure the batch transfer rule? To answer, select the appropriate options in the answer area.
NOTE: Each correct selection is worth one point.
Hot Area:
 

DRAG DROP
-
A company uses basic budgeting functionality in Dynamics 365 Finance.
The company wants to add fixed asset depreciation expenses to its budget register entry. The depreciation expense must be automatically calculated.
You need to create budget register entries for fixed asset depreciation expense.
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.
 

DRAG DROP -
You need to configure the system to for existing purchasing contracts.
Which commitment types should you use? To answer, drag the appropriate commitment types to the correct requirements. Each commitment 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:
 

A company manufactures and installs air filtering units for industrial manufacturing plants.
The air filtering units are manufactured to order. The company realized the value of the sales in the following manner:
•	25 percent at the time of the sale
•	50 percent when the unit is shipped
•	25 percent when the unit is installed
Additionally, a three-year warranty is sold with each unit. Revenue for the warranty is recognized equally in each year the warranty covers.
You need to configure revenue recognition.
What should you do?

A. Create one revenue schedule with milestones.

B. Create a new revenue schedule for each unit.

C. Create a reallocation posting for the warranty revenue.

D. Create the revenue schedule so that it uses the contract terms.

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 use? To 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:
 

After you answer a question in this section, you will NOT be able to return to it. As a result, these questions will not appear in the review screen.
You manage a Dynamics 365 Finance implementation.
You must provide the budget versus actual reporting in near real time.
You need to configure the ledger budgets and forecasts workspace to track expenses over budget and revenue under budget.
Solution: Define a budget model. Set active forecasting process to the current year forecast.
Does the solution meet the goal?

A. Yes

B. No

You use Dynamics 365 Finance for daily bank reconciliation.
You must use the BAI2 bank statement format.
You need to configure the import bank statement format for the bank reconciliation process.
What should you do?

A. Import the bank statement as a template for the bank statement format.

B. Set up a batch job to import the bank statement.

C. Set up an import project for the bank statement in a Data management workspace using files provided by Microsoft.

D. Set up a journal name to import a bank statement transaction.

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 use? To 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:
 

You need to acquire the fixed assets that are associated with the purchase orders.
What should you do?

A. Select the fixed asset checkbox on the invoice.

B. Create the fixed assets in the fixed asset module and then acquire the asset.

C. Create the fixed assets in the fixed asset module and then select the fixed asset checkbox on the product receipt.

D. Reverse the product receipt and then repost it.

DRAG DROP
-
A company that manufactures consumer electronics goods uses Microsoft Dynamics 365 Finance.
You need to configure capitalization thresholds for products based on the following requirements:
 
In which order should you perform the actions? To answer, move all actions from the list of actions to the answer area and arrange them in the correct order.
 

You are configuring vendor collaboration security roles for external vendors. You manually set up a vendor contact.
You need to assign the Vendor (external) role to this vendor.
Which tasks can this vendor perform?

A. Request a new user account for a contact person by using the Provision user action.

B. Maintain vendor collaboration invoices.

C. Delete any contact person that they have created.

D. View and modify contact person information, such as the person’s title, email address, and telephone number.

The JAX sales tax group include the following tax codes:
• Jacksonville
• Duval CT
• FL
• FL Special 1
• FL Special 2
• FL Special 3
• FL Special 5
The default item sales tax group includes the following tax codes:
• Jacksonville
• Duval CT
• FL
• FL Special 1
• FL Special 2
• FL Special 3
• FL Special 4
• Lake Worth
• Palm Beach CT
You assign the JAX sales tax group as the sales tax group, and default item sales tax group on the sales order.
You need to select the tax code used for tax calculation on the sales order.
What should you choose?

A. Jacksonville -Duval CT -FL -FL Special 1 -FL Special 2 -FL Special 3 -FL Special 4 -Lake Worth -Palm Beach CT

B. Jacksonville -Duval CT -FL -FL Special 2 -FL Special 3 -FL Special 5

C. Jacksonville -Duval CT -FL -FL Special 1 -FL Special 2 -FL Special 3

D. Jacksonville -Duval CT -FL -FL Special 1 -FL Special 2 -FL Special 3 -FL Special 5

You are configuring vendor collaboration security roles for external vendors. You manually set up a vendor contact.
You need to assign the Vendor (external) role to this vendor.
Which tasks can this vendor perform?

A. Activate or inactivate the association between a contact person and a vendor account.

B. Delete any contact person that they have created.

C. View and modify contact person information, such as the person’s title, email address, and telephone number.

D. View consignment inventory.

You have implemented Dynamics 365 Finance.
You must update the fiscal year to a 4-4-5 quarterly configuration.
You need to configure the fiscal year.
What should you do?

A. Set up the length of the period to 1 year and divide the period according to the quarterly configuration.

B. Configure the period length to 12 months and adjust the ending date of each period.

C. Configure the period length to 1 year and adjust the ending date of each period.

D. Set up the length of the period to 13 months.

HOTSPOT
-
A company implements basic budgeting functionality in Dynamics 365 Finance.
The company wants to achieve the following:
•	Distribute budget amounts across financial dimensions.
•	Require an approval workflow for budget transfers to the sales department.
•	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.
 

You need to configure the financial reporting fiscal calendar for CustomerX.
What should you do?

A. Use the ledger calendar to set up the 4-5-4 calendar.

B. Configure the fiscal calendar to include a 13 th closing period.

C. Configure the ledger calendar to include a 13 th closing period.

D. Use the closing period adjustments form.

The Canadian franchise purchases excess ski equipment from the US franchise. Two sets of skis are purchased totaling USD1,000.
When the purchase invoice is prepared, USD10,000 is keyed in by mistake.
Which configuration determines the result for this intercompany trade scenario?

A. Post invoices with discrepancies is set to require approval.

B. Match invoice totals is set to yes.

C. Three-way match policy is configured.

D. Two-way match policy is configured.

E. Post invoices with discrepancies is set to allow with warning.

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.
 

You manage fixed assets using Microsoft Dynamics 365 Finance.
You need to define capitalization thresholds.
Which page should you use?

A. Main account

B. Released item

C. Fixed asset posting profile

D. Fixed asset group

HOTSPOT -
You are asked to configure a main account in Dynamics 365 Finance.
 
Use the drop-down menus to select the answer choice that answers each question based on the information presented in the graphic.
NOTE: Each correct selection is worth one point.
Hot Area:
 

You are implementing Dynamics 365 Finance.
Sales tax should be calculated when the sales orders are entered. During testing, you find the sales tax is not calculating as expected.
You need to validate sales tax has been set up correctly.
Which two actions should you do? Each correct answer presents part of the solution.
NOTE: Each correct selection is worth one pint.

A. Validate the default item sales tax group setup for the item being sold.

B. Associate the sales tax jurisdiction to the item sales tax group associated to the item being sold.

C. Validate a default sales tax code has been set up on the customer from the sales order.

D. Validate the sales tax group setting on the customer from the sales order.

E. Validate a default item sales tax code has been set up on the item being sold.

After you answer a question in this section, you will NOT be able to return to it. As a result, these questions will not appear in the review screen.
You are managing credit and collections.
You need to set up mandatory credit limits for all customer documents.
Solution: Select None as the credit type in the Accounts receivable parameters form.
Select the Mandatory credit limit check box in the Customers form.
Does the solution meet the goal?

A. Yes

B. No

You need to determine why CustomerX is unable to confirm another sales order.
What are two possible reasons? Each answer is a complete solution.
NOTE: Each correct selection is worth one point.

A. The credit limit parameter is set to Balance + All.

B. The credit limit is set to 0.

C. An inventory item is out of stock.

D. The inventory safety stock is set to 0.

A company has many customers who are not paying invoices on time.
You need to use the collection letter functionality to manage customer delinquencies.
What are two possible ways to achieve the goal? Each correct answer presents part of the solution.
NOTE: Each correct selection is worth one point.

A. Cancel the collection letters after they are created and posted.

B. Print all of the collection letters.

C. Delete the collection letters after posting when an error occurs.

D. Post the collection letters.

The controller at a company has multiple employees who enter standard General ledger journals. The controller wants to review these journal entries before they are posted. Currently, journals entries are posted without review.
You need to configure Dynamics 365 Finance to help set up a system led review process to meet the controller s needs.
Which functionality should you configure?

A. an Advanced ledger entry workflow that uses the organizational hierarchy for journal posting, associated with the Advanced ledger journal name

B. an alert that is sent to the controller when a journal name is created

C. a manual journal approval with the journal assigned to the controller’s user group

D. the controller’s security role so that he has approval privileges for General ledger journals

You need to ensure that captured employee mobile receipts automatically match the transactions to resolve the User1 issue.
Which feature should you enable?

A. Define expense policy for receipts

B. Expense reports re-imagined

C. Expense management workspace

D. Show receipts during itemization

After you answer a question in this section, you will NOT be able to return to it. As a result, these questions will not appear in the review screen.
A customer uses Dynamics 365 Finance. The customer creates a purchase order for purchase $20,000 of office furniture.
You need to configure the system to ensure that the funds are reserved when the purchase order is confirmed.
Solution: Set up posting definitions for purchase requisitions.
Does the solution meet the goal?

A. Yes

B. No

SIMULATION -
You are a functional consultant for Contoso Entertainment System USA (USMF).
You plan to settle accounts by receiving cash payments in US currency.
You need to create a cash receipts journal that uses the US dollar currency.
To complete this task, sign in to the Dynamics 365 portal.

You are configuring the basic budgeting for a Dynamics 365 Finance environment.
You need to configure the types of entries allowed.
Which two configurations can you use? Each correct answer presents a complete solution.
NOTE: Each correct selection is worth one point.

A. The budget register entry journals require both Expense and Revenue amount types.

B. Budget register entry line needs a main account and amount to be valid.

C. Budget register entry journals must be allocated across all fiscal periods.

D. Budget register entry lines must select only one account structure.

E. The budget register entries can contain either Expense or Revenue amount types.

A company is preparing to complete a year-end close process.
You need to configure the Dynamics 365 Finance general ledger module.
Which three configurations actions should you perform? Each correct answer presents part of the solution.
NOTE: Each correct selection is worth one point.

A. Configure the Fiscal year close parameters

B. Configure the ledger calendar for the new fiscal year

C. Set up the year end close template

D. Validate the main account type

E. Create the next fiscal year

A client has unique accounting needs that sometimes require posting definitions.
You need to implement posting definitions.
In which situation should you implement posting definitions?

A. when financial dimensions need to default from the vendor record onto an invoice

B. when only certain dimensions are allowed to post with certain main account combinations

C. when creating multiple balanced ledger entries based on transaction types or accounts

D. when the system needs to automatically post a transaction to the accounts receivable account on invoice posting

You are configuring Dynamics 365 Finance.
You need to implement advanced bank reconciliation.
Which three actions should you perform? Each correct answer presents part of the solution.
NOTE: Each correct selection is worth one point.

A. Configure Bank statement import.

B. Perform automatic matching and creation of reconciliation journals.

C. Import bank statements through the Data entity framework.

D. Configure a number sequence.

E. Configure matching rules and matching groups for bank transactions.

You are a finance consultant. Your client needs you to configure cash flow forecasting.
The client wants specific percentages of main accounts to contribute to different cash flow forecasts for other main accounts.
You need to configure Dynamics 365 for Finance to meet the needs of the client.
What should you do?

A. On the Cash flow forecasting setup form, configure the primary main account to assign a percentage to the dependent account.

B. Configure the parent/child relationship for the main account and subaccounts by using appropriate percentages.

C. Configure the cash flow forecasting setup for Accounts Payable before you configure vendor posting profiles.

D. On the Cash flow forecasting setup form, use the Dependent Accounts setup to specify which account and percentage is associated to the main account.

A client wants Dynamics 365 Finance to calculate sales tax on a sales order line once an item is added. The sales tax group is already populated with a value.
You need to ensure that the sales tax will calculate.
Which field should you populate?

A. sales tax code

B. item group

C. customer address

D. item sales tax group

HOTSPOT -
You need to set up legal entity currencies and conversions in Dynamics 365 Finance.
You review the hierarchy for consolidation of multiple legal entities.
 
Use the drop-down menus to select the answer choice that answers each question based on the information presented in the graphic.
NOTE: Each correct selection is worth one point.
Hot Area:
 

You are configuring account structures and advanced rules in Dynamics 365 Finance.
All balance sheet accounts require Business Unit and Department dimensions.
The Shareholder distribution account requires an additional dimension for Principal.
You need to set up the account structures.
What are two possible ways to achieve the goal? Each correct answer presents a complete solution.
NOTE: Each correct selection is worth one point.

A. Create a new main account for each of the company’s principals. Then, create an account structure for all balance sheet accounts that includes the required dimension.

B. Create a new main account for Shareholder distribution. Add an advanced rule for the Principal dimension.

C. Create an account structure for all the balance sheet accounts. Set up an advanced rule for the Shareholder distribution account for the Principal dimension.

D. Create an account structure for balance sheet accounts without Shareholder distribution. Then, create a second account structure for Shareholder distribution that includes all required dimensions.

Note: This question is part of a series of questions that present the same scenario. Each question in the series contains a unique solution. Determine whether the solution meets the stated goals. Some question sets might have more than one correct solution, while others might not have a correct solution.
After you answer a question in this section, you will NOT be able to return to it. As a result, these questions will not appear in the review screen.
A customer uses Dynamics 365 Finance.
The controller notices incorrect postings to the ledger entered via journal.
The system must enforce the following:
✑ Expense accounts (6000-6998) require department, division, and project with all transactions. Customer dimension is optional.
✑ Revenue accounts (4000-4999) require department and division and allow project and customer dimensions.
✑ Liability accounts (2000-2999) should not have any dimensions posted.
✑ Expense account (6999) requires department, division, project and customer dimensions with all transactions.
You need to configure the account structure to meet the requirements.
Solution:
✑ Configure two account structures: one for liability accounts listing the (2000-2999) range with no following dimensions and one for Expense and Revenue accounts.
✑ For Expense accounts (6000-6998) and Revenue accounts (4000-4999), configure asterisks in all dimension columns.
✑ For Expense account (6999), configure asterisks in all dimensions. Configure an asterisk and quotes in the customer dimension.
Does the solution meet the goal?

A. Yes

B. No

DRAG DROP -
You are controller for a public sector organization. You need detailed fiscal tracking and reporting.
You need to set up fund types categorized under specific fund classes.
Which fund type can you set up for each fund class? To answer, drag the appropriate fund types to the correct fund classes. Each fund 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:
 

A customer uses bank reconciliation functionality in Dynamics 365 Finance.
The customer finds a transaction in a closed fiscal period that must be corrected.
You need to correct the transaction.
How should you make this correction?

A. Use the Correction amount field.

B. Open the fiscal pend.

C. Create a new line for the transaction in the closed period.

D. Create a new line for the transaction in an open period.

You are configuring budgeting components in Dynamics 365 Finance.
You need to configure multiple budgets.
What are three budgeting options you can use? Each correct answer presents a complete solution.
NOTE: Each correct selection is worth one point.

A. Cost management budget, including Production and Resource groups

B. Sales budget, including Campaigns and Events

C. Workforce budget, including Compensation groups and Positions

D. Project budget, including Items and Fees

E. Ledger budget, including Revenue and Expense types

DRAG DROP -
A retail company has outlets in multiple locations. Taxes vary depending on the location.
You need to configure the various components of the tax framework.
In which order should you perform the actions? To answer, move all actions from the list of actions to the answer area and arrange them in the correct order.
Select and Place:
 

HOTSPOT -
A client is using Dynamics 365 Finance for sales order processing and accounts receivable. The client has two customer groups and two Accounts receivable trade accounts. Foreign customers in Group 80 are assigned to account 12001. Domestic customers in Group 40 are assigned to account 12000.
You are viewing the client's current setup of Customer posting profiles.
 
Use the drop-down menus to select the answer choice that answers each question based on the information presented in the graphic.
NOTE: Each correct selection is worth one point.
Hot Area:
 

HOTSPOT -
A client wants to ensure that transactions posted to the General Ledger have the correct combination of account number and dimensions.
The Services Industry P&L Account Structure has the following information:
 
Use the drop-down menus to select the answer choice that answers each question based on the information presented in the graphic.
NOTE: Each correct selection is worth one point.
Hot Area:
 

A company implements basic budgeting functionality in Dynamics 365 Finance.
Budget managers must be notified of a budget register posting task after a finance director approves an entry.
You need to configure the system.
Which workflow element should you use?

A. Commitment approval

B. Update budget balances budget register

C. Budget planning stage allocation

D. Approve budget account entry