MB-920 Practice Questions

The production order lifecycle follows a specific sequence of statuses. After a production order is created, estimated, and scheduled, the next step is to release it. The 'Released' status indicates that the order is authorized for production, and shop floor documents like route cards and job cards can be printed.

A free text invoice is an invoice that is not linked to a sales order. It is commonly used for services, fees, or recurring charges like subscriptions where you need to bill a customer without managing inventory or a sales fulfillment process. The Subscription billing module heavily utilizes free text invoices.

The purchase order is the formal document used to order goods or services from a vendor.

The vendor invoice is the bill received from the vendor, which triggers the payment process.

The product receipt confirms that the goods or services have been received, a critical step before payment.

This is true. The security model is based on the union of permissions. If a user is assigned multiple roles, they get the highest level of access granted by any of those roles for a specific securable item. For example, if Role A gives read-only access to a form and Role B gives full control, the user will have full control.

The Fixed asset management module in Dynamics 365 Finance is specifically designed to enable companies to track and manage their tangible and intangible assets. It supports the complete asset lifecycle, from acquisition and depreciation to disposal, ensuring accurate financial reporting.

Planned orders are suggestions generated by the master planning engine. They are not actual transactions. The firming process is the action of reviewing and approving a planned order, which converts it into a concrete, actionable document like a purchase order (for procurement) or a production order (for manufacturing).

The correct approach is to create a single product master (the core 'Polo Shirt' item). Then, by assigning product dimension groups for Size and Color, the system can automatically generate all possible combinations (e.g., Small-Red, Medium-Blue) as product variants. This simplifies product data management significantly.

The accounting currency is the primary currency used for a legal entity's transactions and financial statements (e.g., USD for the US entity). The reporting currency is used for financial reporting purposes, often for consolidation at a parent level. In this case, GBP is the currency in which the consolidated reports are viewed, making it the reporting currency.

Discrete manufacturing is used for producing distinct items like chairs and tables that can be counted and disassembled. Both make-to-stock and make-to-order are strategies within discrete manufacturing.

Lean manufacturing focuses on minimizing waste and is often used for repetitive, high-volume production, making it suitable for the standard, mass-produced chairs. It can be applied alongside discrete manufacturing.

Account structures are used to define the valid combinations of main accounts and financial dimensions. You can configure the account structure to require that for a specific range of main accounts (e.g., marketing expenses), the 'Department' and 'Campaign' financial dimensions are mandatory and cannot be left blank.