MB-920 sample exam questions

15 exam-style questions for Microsoft MB-920: Dynamics 365 Fundamentals (ERP), with answers and explanations. Take them as a timed practice exam first if you want a score out of 1000.

  1. Question 1Single choiceSupply chain and manufacturing
    An organization has two legal entities. Items may be sold by one company only or by both companies.
    You need to recommend a solution to standardize the items across the legal entities.
    What should you recommend?
    1. A
      Lifecycle Services
    2. B
      Item templates
    3. C
      Products and product masters
    4. D
      Product Insights
    Show answer

    Correct answer: C

    Why

    Products and product masters are defined once at the shared (global) level and then released to each legal entity that sells them, which standardizes item data across companies. Item templates only prefill new records, Lifecycle Services is a project management portal, and Product Insights is a retired customer data product.

  2. Question 2Multiple responseFinance
    A company implements Dynamics 365 Finance.
    Which two components can you use to create a financial dimension set?
    Each correct answer presents part of the solution.
    NOTE: Each correct selection is worth one point.
    1. A
      Derived dimension
    2. B
      Financial dimension
    3. C
      Main account
    4. D
      Account structure
    Show answer

    Correct answer: B, C

    Why

    The community answer BD is wrong because account structures are not added to a set. A financial dimension set is built by selecting financial dimensions and, optionally, the main account, and it controls how balances are summarized for reporting and inquiry. Derived dimensions only default values onto other dimensions.

  3. Question 3Single choiceFinance
    A company using Dynamics 365 Finance has determined they have been paying for products they did not receive.
    You need to recommend a solution to prevent this from happening in the future.
    What should you recommend?
    1. A
      Implement Accounts payable for three-way matching.
    2. B
      Activate change management.
    3. C
      Implement Accounts receivable for three-way matching.
    4. D
      Use the Vendor portal.
    Show answer

    Correct answer: A

    Why

    Three-way matching in Accounts payable compares the vendor invoice with the purchase order and the product receipt, so invoices cannot be paid for goods that were never received. Accounts receivable deals with customers, change management controls PO edits, and the vendor portal only lets vendors collaborate.

  4. Question 4Multiple responseShared features and Power Platform
    A company plans to implement Dynamics 365 finance and operations apps. The company wants to integrate Microsoft Teams with these applications.
    Which three platforms support Microsoft Teams integration? Each correct answer presents a complete solution.
    NOTE: Each correct selection is worth one point.
    1. A
      Dynamics 365 Commerce
    2. B
      Power BI
    3. C
      Microsoft Dataverse
    4. D
      Dynamics 365 Customer Engagement (on-premises)
    5. E
      SharePoint Online
    Show answer

    Correct answer: A, B, E

    Why

    Microsoft Teams integrates with Dynamics 365 Commerce (store task management and employee collaboration), Power BI (reports shared in Teams tabs and chats), and SharePoint Online (file storage behind every Teams channel). Customer Engagement on-premises does not support Teams integration; Dataverse is the intended distractor here.

  5. Question 5HotspotSupply chain and manufacturing
    HOTSPOT

    An oil refinery uses Dynamics 365 Supply Chain Management. They create work orders for their equipment and machinery.

    The refinery needs to perform equipment and machinery maintenance according to internal requests.

    Which maintenance type is performed in enterprise asset management based on internal requests? To answer, select the appropriate option in the answer area.

    ___ maintenance in enterprise asset management is performed based on internal requests.Corrective / Preventive / Reactive
    Show answer
    • ___ maintenance in enterprise asset management is performed based on internal requests. Corrective
    Why

    In Asset Management, corrective maintenance is triggered by maintenance requests raised internally when a fault is reported, and the request is converted into a work order. Preventive maintenance is driven by maintenance plans and schedules based on time or counters, not by requests.

  6. Question 6Drag and dropFinance
    DRAG DROP

    A company implements Dynamics 365 Finance.

    You need to recommend which account types the company should use for main accounts.

    What should you recommend? To answer, drag the appropriate general ledger elements to the correct accounts. Each element 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.

    Move each item to the matching row:

    • Dimension
    • Main account
    • Posting group
    • Record the outstanding balance for a mortgage.
    • Document expenses for a department.
    • Map purchase order transactions to specific general ledger accounts.
    Show answer
    • Record the outstanding balance for a mortgage. Main account
    • Document expenses for a department. Dimension
    • Map purchase order transactions to specific general ledger accounts. Posting group
    Why

    A mortgage balance is recorded on a liability main account in the chart of accounts. Department costs are tracked with a financial dimension such as Department added to expense postings. Posting groups or posting profiles map purchase transactions to the correct ledger accounts automatically.

  7. Question 7HotspotCommerce and Human Resources
    HOTSPOT

    A company uses Dynamics 365 Commerce.

    You need to suggest point of sale (POS) options with offline capabilities for the company’s retail locations.

    Which POS options have offline capabilities? To answer, select the appropriate options in the answer area.

    NOTE: Each correct selection is worth one point.

    MPOS for WindowsYes / No
    MPOS for AndroidYes / No
    MPOS for iOSYes / No
    Cloud POSYes / No
    Show answer
    • MPOS for Windows Yes
    • MPOS for Android No
    • MPOS for iOS No
    • Cloud POS No
    Why

    Only Modern POS for Windows could use a local offline database to keep selling when the connection to the Commerce Scale Unit is lost. The Android and iOS apps and browser-based Cloud POS need connectivity. These apps are now replaced by Store Commerce, where offline mode is still supported only on Windows.

  8. Question 8Multiple responseCommerce and Human Resources
    A company uses Dynamics 365 Human Resources. The company establishes a new department and hires employees to staff the department.

    The company wants to manage annual employee reviews.

    What are two capabilities of Dynamics 365 Human Resources performance management? Each correct answer presents a part of the solution.

    NOTE: Each correct selection is worth one point.
    1. A
      Performance journals
    2. B
      Personnel actions
    3. C
      Competencies
    4. D
      Goals
    Show answer

    Correct answer: A, D

    Why

    The community answer CD is wrong because competencies are a separate HR area for skills and certificates. Performance management in Dynamics 365 Human Resources covers goals, performance reviews, and performance journals for ongoing notes and feedback. Personnel actions handle workforce changes such as hires and transfers.

  9. Question 9HotspotProject Operations
    HOTSPOT

    A company implements Dynamics 365 Project Operations.

    Instructions: For each of the following statements, select Yes if the statement is true. Otherwise, select No.

    NOTE: Each correct selection is worth one point.

    Users can associate one or more price lists with a customer, an opportunity, or a quote.Yes / No
    Revenue recognition can be performed at set project milestones.Yes / No
    A project task can have different prices for two different resources.Yes / No
    Show answer
    • Users can associate one or more price lists with a customer, an opportunity, or a quote. Yes
    • Revenue recognition can be performed at set project milestones. Yes
    • A project task can have different prices for two different resources. Yes
    Why

    Project Operations lets you attach price lists to customers, opportunities, quotes and contracts. Fixed-price contract lines use billing milestones, and revenue can be recognized as those milestones are reached. Prices are set per role and resource, so two resources on the same task can be charged at different rates.

  10. Question 10Multiple responseSupply chain and manufacturing
    A company implements Dynamics 365 Supply Chain Management.

    You need to determine which feature to use to track inventory.

    Which three types of information does the on-hand list provide? Each correct answer presents a complete solution.

    NOTE: Each correct selection is worth one point.
    1. A
      on order
    2. B
      physical reserved
    3. C
      last reserved
    4. D
      bin
    5. E
      physical inventory
    Show answer

    Correct answer: A, B, E

    Why

    The on-hand list shows inventory quantities such as physical inventory, physical reserved, available physical, ordered in total and on order. It can be grouped by storage dimensions like bin, but bin is a dimension rather than a quantity type, and there is no last reserved field.

  11. Question 11Single choiceCommerce and Human Resources
    A company implements Dynamics 365 Commerce with Power BI.

    The company needs to use predefined Power BI reports for designing new reports to meet additional requirements.

    You need to identify a feature that can provide the basis for the reports.

    Which feature should you use?
    1. A
      Data packages
    2. B
      Deployable packages
    3. C
      Content packs
    4. D
      Entity store
    5. E
      Report extensions
    Show answer

    Correct answer: C

    Why

    Power BI content packs provided predefined reports that could be used as a starting point for new reports. Content packs are now retired and replaced by Power BI apps and the embedded analytical workspaces, but content packs remain the intended answer. Data and deployable packages are for data migration and code deployment.

  12. Question 12Single choiceShared features and Power Platform
    A company uses Dynamics 365 Finance and Power BI.

    The company wants to use Power BI to create high-volume, near real-time reports.

    You need to identify how the company can meet this requirement.

    Which option should you use?
    1. A
      SQL Server Reporting Services (SSRS)
    2. B
      Microsoft Excel
    3. C
      Power BI tiles
    4. D
      Entity store
    Show answer

    Correct answer: D

    Why

    The Entity store is an operational data warehouse inside finance and operations apps that Power BI DirectQuery can use for near real-time, high-volume analytical reporting. It is now largely superseded by Azure Synapse Link and Fabric. SSRS and Excel are not Power BI options, and tiles only display existing visuals.

  13. Question 13Multiple responseProject Operations
    A company creates a project plan in Dynamics 365 Project Operations.

    The project plan must allow a project manager to:

    • Track profitability,
    • Collaborate on the work to be performed, and
    • Allocate people to perform tasks.

    You need to identify the project derivatives that the project plan must track.

    Which three major project derivatives should the plan track? Each correct answer presents part of the solution.

    NOTE: Each correct selection is worth one point.
    1. A
      resourcing
    2. B
      schedule updates
    3. C
      invoicing
    4. D
      cost
    5. E
      scope
    Show answer

    Correct answer: A, B, D

    Why

    A Project Operations project plan tracks schedule updates for collaboration on tasks, resourcing to assign people to tasks, and cost estimates to monitor profitability. Invoicing is handled in contracts and billing, and scope is defined by the work breakdown structure rather than a tracked derivative.

  14. Question 14Single choiceProject Operations
    A company is implementing Dynamics 365 Project Operations for services operations.

    The company needs to estimate the full-time resources required to complete different tasks for a new project.

    You need to identify which feature should be used for the requirement.

    Which feature should you use?
    1. A
      project stages
    2. B
      scheduling modes
    3. C
      work breakdown structure (WBS)
    4. D
      resource utilization
    5. E
      booking allocation method
    Show answer

    Correct answer: C

    Why

    The work breakdown structure in Project Operations lists tasks with effort and assigned generic or named resources, which estimates how many full-time resources a project needs. Scheduling modes only control how duration, effort and units recalculate, and resource utilization and booking methods apply after resources are booked.

  15. Question 15HotspotShared features and Power Platform
    HOTSPOT

    A company is reviewing navigation in finance and operations apps.

    For each of the following statements, select Yes if the statement is true. Otherwise, select No.

    NOTE: Each correct selection is worth one point.

    The navigation menu is collapsed by default.Yes / No
    Workspace tiles are displayed based upon a user's assigned security.Yes / No
    The company a user is working with is displayed on the home screen.Yes / No
    Show answer
    • The navigation menu is collapsed by default. Yes
    • Workspace tiles are displayed based upon a user's assigned security. Yes
    • The company a user is working with is displayed on the home screen. Yes
    Why

    In finance and operations apps the navigation pane is collapsed by default and is opened with the menu icon. The dashboard shows only workspace tiles the user's security roles grant access to, and the current legal entity is shown in the navigation bar on the home page, where it can be changed.