Microsoft MB-310 D365 Functional Consultant Financials Exam Questions

1. Note: This question is part of a series of questions that present the same scenario. Each question in the series contains a unique solution that might meet 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.

You are configuring the year-end setup in Dynamics 365 for Finance and Operations.

You need to configure the year-end setup to meet the following requirements:

* The accounting adjustments that are received in the first quarter must be able to be posted in to the previous year’s Period 13.

* The fiscal year closing can be run again, but only the most recent closing entry will remain in the transactions.

* All dimensions from profit and loss must carry over into the retained earnings.

* All future and previous periods must have an On Hold status.

Solution:

* Configure General ledger parameters.

– Set the Delete close of year transactions option to Yes .

– Set the Create closing transactions during transfer option to Yes .

– Set the Fiscal year status to permanently closed option to No .

* Define the Year-end close template.

– Designate a retained earnings main account for each legal entity.

– Set the Financial dimensions will be used on the Opening transactions option to No .

– Set the Transfer profit and loss dimensions’ option to Close All .

* Set future Ledger periods to a status of On Hold .

Does the solution meet the goal?

2. Note: This question is part of a series of questions that present the same scenario. Each questionin the series contains a unique solution that might meet the stated goals. Some question setsmight 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, thesequestions will not appear in the review screen.

You are configuring the year-end setup in Dynamics 365 for Finance and Operations.

You need to configure the year-end setup to meet the following requirements:

– The accounting adjustments that are received in the first quarter must be able to be posted in to the previous year’s Period 13.

– The fiscal year closing can be run again, but only the most recent closing entry will remain in the transactions.

– All dimensions from profit and loss must carry over into the retained earnings.

– All future and previous periods must have an On Hold status.

Solution:

* Configure General ledger parameters.

– Set the Delete close of year transactions option to Yes.

– Set the Create closing transactions during transfer option to Yes.

– Set the Fiscal year status to permanently closed option to Yes.

* Define the Year-end close template.

– Designate a retained earnings main account for each legal entity.

– Set the Financial dimensions will be used on the Opening transactions option to Yes.

– Set the Transfer profit and loss dimensions’ option to Close All.

* Set future Ledger periods to a status of On Hold.

Does the solution meet the goal?

3. Note: This question is part of a series of questions that present the same scenario. Each questionin the series contains a unique solution that might meet the stated goals. Some question setsmight 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, thesequestions will not appear in the review screen.

You are configuring the year-end setup in Dynamics 365 for Finance and Operations.

You need to configure the year-end setup to meet the following requirements:

– The accounting adjustments that are received in the first quarter must be able to be posted in to the previous year’s Period 13.

– The fiscal year closing can be run again, but only the most recent closing entry will remain in the transactions.

– All dimensions from profit and loss must carry over into the retained earnings.

– All future and previous periods must have an On Hold status.

Solution:

* Configure General ledger parameters.

– Set the Delete close of year transactions option to No.

– Set the Create closing transactions during transfer option to No.

– Set the Fiscal year status to permanently closed option to No.

* Define the Year-end close template.

– Designate a retained earnings main account for each legal entity.

– Set the Financial dimensions will be used on the Opening transactions option to No.

– Set the Transfer profit and loss dimensions’ option to Close All.

* Set future Ledger periods to a status of On Hold.

Does the solution meet the goal?

4. HOTSPOT

You are implementing a Dynamics 365 for Finance and Operations General ledger module for a client that has multiple legal entities. The client has the following requirements:

– Post journal entries for all companies from one legal entity.

– Configure automatic creation of due to/due from transactions based on when LegalEntityA transacts with LegalEntityB.

– Automatically split the dollar amount in half between DimensionA and DimensionB when the journal is posted.

– Set up fixed or variable allocations, and then review the allocations in a journal before posting.

– Automatically post year-end results to account 30016 during year-end close. You need to configure the system.

Which system capability should you configure? To answer, select the appropriate configuration in the

answer area. NOTE: Each correct selection is worth one point.

5. A company is preparing to complete a year-end close process. You need to configure the Dynamics 365 for Finance and Operations General ledger module.

Which three configurations must you use? Each correct answer presents part of the solution. NOTE: Each correct selection is worth one point.

6. 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?

7. An organization is setting up a cost accounting. You need to set up fiscal calendars for Dynamics 365 for Finance and Operations.

What are three uses for fiscal calendars? Each correct answer presents a complete solution. NOTE: Each correct selection is worth one point.

8. You are configuring automatic bank reconciliation functionality for a company that has multiple bank accounts. The company wants to import their bank statements. You need to import electronic bank statements to reconcile the bank accounts.

Which three actions can you perform? Each correct answer presents a complete solution. NOTE: Each correct selection is worth one point.

9. A company plans to create a new allocation rule for electric utilities expenses.

The allocation rule must meet the following requirements:

– Distribute overhead utility expense to each department.

– Define how and in what proportion the source amounts must be distributed on various destination lines.

You need to configure the allocation rule.

Which allocation method should you use?

Fixed percentage

Fixed weight

Equally

Basis

10. HOTSPOT

A food manufacturer uses commodities such as beans, corn, and chili peppers as raw materials. The prices of the commodities fluctuate frequently. The manufacturer wants to use cost versions to simulate these fluctuations. You need to set up cost versions and prices to accomplish the manufacturer’s goal.

For which purpose should you use each costing type? To answer, select the appropriate options in the

answer area. NOTE: Each correct selection is worth one point.

11. HOTSPOT

A rental service company hires you to configure their system to implement accrual schemes.

You need to configure the accrual schemes for this company.

Which configuration and transaction options should you use? To answer, select the appropriate options in the answer area. NOTE: Each correct selection is worth one point.

12. 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? (Choose two). Each correct answer presents part of the solution. NOTE: Each correct selection is worth one point.

13. HOTSPOT

A client plans to use the cost accounting module in Dynamics 365 for Finance and Operations.

You need to associate the correct definitions to the correct cost accounting concepts.

Which terms match the definitions? To answer, select the appropriate configuration in the answer area.

NOTE: Each correct selection is worth one point.

14. An organization uses Dynamics 365 for Finance and Operations.

Several posted journal entries contain invalid main account and dimension combinations. This leads to incorrect financial reporting.

You need to prevent these invalid combinations.

What should you do?

15. HOTSPOT

A client plans to use Dynamics 365 for Finance and Operations for year-end 1099 reporting in the United States.

You are viewing a vendor master data record on the 1099 FastTab.

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.

16. A legal entity has locations and customers in multiple states within the United States.

You need to ensure that taxable customers are charged sales tax for taxable items in their delivery location.

Which three settings must you configure? Each correct answer presents part of the solution.

NOTE: Each correct selection is worth one point.

17. You are configuring Dynamics 365 for Finance and Operations. You need to implement posting definitions for all available transaction types.

For which type of transactions can you implement posting definitions?

18. DRAG DROP

You need to set up a process of tracking, recording, and analyzing costs associated with the products or activities of a nonmanufacturing organization. You need to configure the prerequisite setup for the standard costing version for the current period.

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.

19. A public sector company is configuring encumbrance for managing capital budgets.

The finance department needs to configure posting definitions for bank transactions.

You need to configure Dynamics 365 for Finance and Operations for cash settlements.

What should you do?

20. 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.

21. Note: This question is part of a series of questions that present the same scenario. Each questionin the series contains a unique solution that might meet the stated goals. Some question setsmight 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, thesequestions will not appear in the review screen.

A client has multiple legal entities set up in Dynamics 365 for Finance and Operations. All companies and

data reside in Finance and Operations. The client currently uses a separate reporting tool to perform their financial consolidation and eliminations. They want to use Finance and Operations instead.

You need to configure the system and correctly perform eliminations.

Solution: Select Consolidate online in Finance and Operations. Include eliminations during the process or as a proposal. Set up the transactions to post in the legal entity configured for consolidations. Does the solution meet the goal?

22. Note: This question is part of a series of questions that present the same scenario. Each questionin the series contains a unique solution that might meet the stated goals. Some question setsmight 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, thesequestions will not appear in the review screen.

A client has multiple legal entities set up in Dynamics 365 for Finance and Operations. All companies and data reside in Finance and Operations.

The client currently uses a separate reporting tool to perform their financial consolidation and eliminations. They want to use Finance and Operations instead.

You need to configure the system and correctly perform eliminations.

Solution: Select Consolidate with import.

Does the solution meet the goal?