MB-800 : Microsoft Dynamics 365 Business Central Functional Consultant : Part 04

MB-800 : Microsoft Dynamics 365 Business Central Functional Consultant : Part 04

1. DRAG DROP

   You are implementing Dynamics 365 Business Central for a company.

   The company must perform inventory valuation according to the following business rules:

   – Include received items that are not yet invoiced on balance sheets.
   – Lock inventory value by closing the month.

   You need to recommend a process for the company’s accounting department to use.

   Which three actions should you recommend be performed in sequence? To answer, move the appropriate actions from the list of actions to the answer area and arrange them in the correct order.

   

   

2. DRAG DROP

   The accounts payable department of a company processes purchase invoices throughout the month. A vendor sends an invoice at the end of each week that combines all deliveries.

   The company wants to know how to process this invoice.

   You need to explain the steps involved in purchase invoicing.

   In which order should the steps be performed? To answer, move all actions from the list of actions to the answer area and arrange them in the correct order.

   

   

3. DRAG DROP

   You are a functional consultant working on purchase returns in Dynamics 365 Business Central.

   A customer orders 100 pieces of an item from a vendor. After receiving them into inventory and posting the invoice, the customer determines that only 50 pieces are needed.

   You create a purchase return order to return 50 pieces of the item. The vendor has authorized the return.

   You need to apply the return to the original purchase.

   Which five 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.

   

   

4. 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 implementing Dynamics 365 Business Central for a company. The company provides subscription services to their customers. The subscription invoices are almost identical each month.

   The company wants to set up recurring sales lines for subscription invoices.

   You need to create systems for creating subscription invoices.

   Solution: Create a blanket order. Add the necessary lines to the blanket order. Create the monthly sales order. Then, create the invoice.

   Does the solution meet the goal?

   • Yes
   • No

5. 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 implementing Dynamics 365 Business Central for a company. The company provides subscription services to their customers. The subscription invoices are almost identical each month.

   The company wants to set up recurring sales lines for subscription invoices.

   You need to create systems for creating subscription invoices.

   Solution: Create a new recurring sales line. Open the relevant customers and attach the Recurring Sales Lines code to the customer. Then, run the Create Recurring Sales Invoices batch to create the invoices.

   Does the solution meet the goal?

   • Yes
   • No

6. 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 implementing Dynamics 365 Business Central for a company. The company provides subscription services to their customers. The subscription invoices are almost identical each month.

   The company wants to set up recurring sales lines for subscription invoices.

   You need to create systems for creating subscription invoices.

   Solution: Create a sales quote for each customer. Add the sales lines to the quote. Then, use the Copy Document feature to create a new invoice.

   Does the solution meet the goal?

   • Yes
   • No

7. 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 implementing Dynamics 365 Business Central for a company. The company provides subscription services to their customers. The subscription invoices are almost identical each month.

   The company wants to set up recurring sales lines for subscription invoices.

   You need to create systems for creating subscription invoices.

   Solution: Create a new recurring sales line code. Then, run the Create Recurring Invoices batch to create the invoice.

   Does the solution meet the goal?

   • Yes
   • No

8. Two cash receipts were applied to a posted sales transaction. The first receipt was applied in error.

   You need to remove the first cash receipt from the posted sales transaction.

   Which set of steps should you perform?

   • 1. Navigate to Unapply Entries from the relevant customer ledger entry.
     2. Unapply the second payment.
     3. Unapply the first payment.
     4. Apply the second payment to the customer ledger entry.
   • 1. Navigate to Reverse Transaction from the relevant detailed customer ledger entry.
     2. Reverse the second payment.
     3. Reverse the first payment.
     4. Apply the second payment to the customer ledger entry.
   • 1. Navigate to Reverse Transaction from the relevant customer ledger entry.
     2. Reverse the second payment.
     3. Reverse the first payment.
     4. Apply the second payment to the customer ledger entry.
   • 1. Post a reversing Cash Receipt and select the customer and relevant payment entry.
     2. Navigate to Unapply Entries from the relevant customer ledger entry.
     3. Unapply the payment.

9. A company uses the average costing method and inventory periods. Automatic Cost Posting is not enabled.

   You close the inventory period for July 2020. You set the value of the Allow Posting From field in General Ledger Setup to August 1, 2020.

   You receive and post a purchase invoice for freight charges on August 8, 2020 against a purchase invoice that was posted on July 15, 2020. You run the Adjust cost – Item entries batch job for August.

   You need to identify the adjustment entry related to July after running the batch job.

   Which date is automatically selected for the value entry by batch job?

   • July 15, 2020
   • August 8, 2020
   • August 1, 2020
   • July 1, 2020

10. DRAG DROP

    You set up a new company in Dynamics 365 Business Central.

    You need to demonstrate Page Inspection functionality.

    Which features should you use? To answer, drag the appropriate page inspection features to the correct display requirements. Each page inspection feature 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.

    

    

11. DRAG DROP

    You are creating a filtered view of a Chart of Accounts page.

    The page must be filtered to display Net Change values only for transactions between a specific date range. You must save the filtered view for future use.

    You need to filter on transactions occurring between January 1, 2020 and January 31, 2020.

    Which three 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.

    

    

12. DRAG DROP

    You need to undo an incorrectly posted purchase receipt from a related purchase order.

    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.

    

    

13. You are implementing Dynamics 365 Business Central for a company.

    The company needs to receive more items than they ordered from a vendor.

    You need to configure over-receipt functionality on the items purchased.

    In which two places should you configure the over-receipt functionality? Each correct answer presents part of the solution.

    NOTE: Each correct selection is worth one point.

    • Item card
    • Vendor card
    • Stockkeeping Unit card
    • Over-Receipt code list

14. HOTSPOT

    A company implements Dynamics 365 Business Central. You record the following vendor ledger entries for a vendor. You record dates by using the following format: month/date/year.

    

    The company takes advantage of any payment discounts. You use the Suggest Vendor Payments batch job in the Payment Journal to identify payments that must be made. You ensure that any available payment discounts will be automatically subtracted from the amount to be paid to the vendor.

    You need to ensure that the invoices and credit memos for the vendor are included in the results of the Suggest Vendor Payments batch job.

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

    NOTE: Each correct selection is worth one point.

    

    

15. DRAG DROP

    You are performing actions on posted sales invoices.

    You need to correct any identified errors.

    Which actions should you perform? To answer, drag the action buttons to the correct requirements. Each action button may be used 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.

    

    

16. DRAG DROP

    You have a sales order with a quantity of 100 items.

    You need to post a shipment with a quantity of 50 items from the sales order.

    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.

    

    

17. This is a case study. Case studies are not timed separately. You can use as much exam time as you would like to complete each case. However, there may be additional case studies and sections on this exam. You must manage your time to ensure that you are able to complete all questions included on this exam in the time provided.

    To answer the questions included in a case study, you will need to reference information that is provided in the case study. Case studies might contain exhibits and other resources that provide more information about the scenario that is described in the case study. Each question is independent of the other questions in this case study.

    At the end of this case study, a review screen will appear. This screen allows you to review your answers and to make changes before you move to the next section of the exam. After you begin a new section, you cannot return to this section.

    To start the case study

    To display the first question in the case study, click the Next button. Use the buttons in the left pane to explore the content of the case study before you answer the questions. Clicking these buttons displays information such as business requirements, existing environment, and problem statements. When you are ready to answer a question, click the Question button to return to the question.

    Background

    Best for You Organics Company is a mid-sized wholesale distributor of organic produce and other food items to national retail grocery store chains. Over half the company’s revenue is from produce with an average shelf life of less than a week. The remaining revenue comes from shelf-stable canned and packaged items.

    Best for You Organics experienced substantial growth in the last two years. They expanded from one location to three locations, increased the number of employees from 25 to over 100, and more than doubled their revenue. The company’s business forecast predicts a steady rate of growth of at least 20 percent annually for the next five years.

    As a result of their expansion, Best for You Organics is experiencing delays and bottlenecks in their processes. The company has decided to implement Dynamics 365 Business Central as a new Enterprise Resource Planning (ERP) solution to increase efficiency and automation to support their continued growth.

    Current environment

    Deliveries

    – The company receives daily truckloads of products from their vendors, warehouses the products briefly, and then ships orders based on a weekly delivery cycle to each customer’s store.
    – Customers have regular standing orders that are revised and finished one week prior to delivery.
    – Best for You Organics has a fleet of trucks that make deliveries according to planned routes.
    – The company also has a floating route for trucks to deliver rush orders. The route is being used more often by customers and has overwhelmed the warehouse with exception processing.

    Duties

    The company wants to provide greater separation of duties between activities in the office and activities in the warehouse.

    The accounting team enters orders for the sales team, sends pick tickets back to the warehouse, and organizes shipping documents. The accounting team invoices the orders when they receive instructions from the warehouse that an order shipped.

    Employees have expressed frustration because they need to work longer hours to accommodate the increase in sales.

    The company does not use the Advanced Warehousing function.

    Requirements

    Salespeople

    – Salespeople must be able to manage opportunities that are converted to quotes.
    – Salespeople must be able to release orders to the warehouse to be fulfilled once a quote is final.
    – Salespeople must be trained on how to determine if inventory is available when they are completing the quote to avoid promising inventory that is not on hand because all orders are processed one week in advance of delivery.

    Team responsibilities

    Deliveries must be shipped daily by employees in the warehouse. The office must be responsible for completing the invoicing process.

    The current team responsibilities are shown in the following graphic:

    

    The required team responsibilities are shown in the following graphic:

    

    Vendor management

    – The company contracts with each vendor for regular discounts at the invoice level.
    – The company requires a pre-set discount percentage to calculate automatically when the purchaser completes a purchase order.
    – The company must be able to see a copy of the completed purchase order in the system when they have new contract negotiations with their vendors.

    Customer and inventory management

    – Sales invoices must be automatically emailed by the system to customers.
    – A template must be used for emails sent to customers. The template must not be altered.
    – Customers who pre-pay their invoices must not receive a copy of their invoices.
    – The company warehouses all products as Case quantities. The company has difficulty recording accurate costs for product returns. The company wants to expand their capabilities for managing returns by setting up all inventory in a quantity of Each.

    Reporting

    The company must be able to answer two key questions when they report financial results:

    – Which customers are buying which items?
    – Which salespeople are selling in which regions?

    When discussing customers, the company must refer to each Customer Group as follows:

    – Big Box
    – Franchise
    – Private

    When discussing items, the company must refer to each Item Group as follows:

    – Fair Trade
    – Free Range
    – Grass Fed
    – Heirloom
    – Organic

    Salesperson names that must be used are:

    – Salesperson A
    – Salesperson B
    – Salesperson C
    – Salesperson D

    Region names that must be used are:

    – North
    – South
    – East
    – West

    Commission

    – The company must be able to track salesperson performance within certain regions to calculate commission.
    – Each salesperson must be assigned only to a single region.
    – This commission data is currently recorded inconsistently, resulting in incorrect combinations that require manual correction. The company must have some level of automation to manage this.

    Issues

    Issue 1

    The accounting team needs an improved process for reconciling inventory to the general ledger.

    – Posted transactions are changing financial reporting in periods that have been closed.
    – Unexpected changes in inventory cost for previous months are causing costing inaccuracies.
    – The system must restrict the adjustment of costs for closed months.
    – The new policy will be to restrict all users to posting in the current month only, with the exception of a few employees from the accounting team.
    – The calendar fiscal year for company must begin on June 1.

    Issue 2

    The accounting team uses a complex manual accrual process to determine the accounting impact of items received but not invoiced. The system must streamline the item accrual process.

    Issue 3

    The company often receives a higher quantity of produce items than what they order because vendors allow for spoilage or damage of produce in transit. The company does not want to allow over receipt on non-produce items.

    Issue 4

    The company has received comments from their auditors that invoices are not being properly compared to received inventory documents before they are posted. The company does not use warehouse management and always handles processes directly from the purchase order. The company always has the following documents:

    – purchase order from the procurement department
    – receiving document from the warehouse
    – electronic invoice from the vendor

    1. You need to configure the system to meet the requirements for received items.

       What should you do?

       • Set the default costing method to Standard
       • Turn on Automatic Cost Posting
       • Turn on Expected Cost Posting
       • Set the value of the Automatic Cost Adjustment option to Always

    2. DRAG DROP

       You need to advise the company on how to process existing sales orders.

       Which three actions should you recommend be performed in sequence? To answer, move the appropriate actions from the list of actions to the answer area and arrange them in the correct order.

       

       

    3. You need to configure the system for receiving produce from the vendors.

       What should you do?

       • Configure an Over-Receipt code with Tolerance percentage.
       • Set up a Payment Tolerance percentage.
       • Apply a Default Deferral template.
       • Set the Dampener Quantity to a value greater than zero.

    4. HOTSPOT

       You need to create the process for salespeople.

       What should you do? To answer, select the appropriate options in the answer area.

       NOTE: Each correct selection is worth one point.

       

       

    5. DRAG DROP

       You need to configure the system to address the costing adjustment concerns.

       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.

       

       

18. This is a case study. Case studies are not timed separately. You can use as much exam time as you would like to complete each case. However, there may be additional case studies and sections on this exam. You must manage your time to ensure that you are able to complete all questions included on this exam in the time provided.
     
    To answer the questions included in a case study, you will need to reference information that is provided in the case study. Case studies might contain exhibits and other resources that provide more information about the scenario that is described in the case study. Each question is independent of the other questions in this case study.
     
    At the end of this case study, a review screen will appear. This screen allows you to review your answers and to make changes before you move to the next section of the exam. After you begin a new section, you cannot return to this section.
     
    To start the case study
     
    To display the first question in the case study, click the Next button. Use the buttons in the left pane to explore the content of the case study before you answer the questions. Clicking these buttons displays information such as business requirements, existing environment, and problem statements. When you are ready to answer a question, click the Question button to return to the question.
     
    Background
     
    Wide World Importers is a family-owned importer of specialty cooking ingredients and prepackaged foods from the Mediterranean. When first established, the company’s products were sold at farmers markets, all sales were on a cash-only basis.
     
    Products are now sold locally to restaurant owners and chefs in a family-owned building with a warehouse. Products are no longer sold at farmers markets. Cash and carry sales generate most of the revenue for the company.
     
    The founder of Wide World Importers is turning over control of the company to the younger generation in the family. These family members want to use Dynamics 365 Business Central to support their efforts to grow and diversify the business. They recently started to build a new line of business selling and shipping products to specialty retailers outside their local area through a network of brokers and representatives.
     
    The company uses QuickBooks, but the family is concerned that QuickBooks is not capable of supporting their new business model.
     
    There are 30 full-time and part-time employees who work in sales, purchasing, shipping, customer service, accounts payable, accounts receivable, and finance. The family does not plan to hire additional personnel to support the new line of business.
     
    Current environment
    Cash and carry sales
     
    – When a customer makes a purchase at the company’s cash and carry desk, the sale is handwritten on a three-part form.
    – The cash and carry associate retrieves the items listed on the order from the warehouse.
    – Special prices and discounts are used to move products that will expire soon or that are overstocked.
    – Cash is accepted for payments.
    – The cash drawer is balanced at the end of every day. A deposit is created for the cash and given to the accountant.
    – One-line sales invoices are saved in QuickBooks for each cash and carry sale to a miscellaneous customer.
    – Customer details for cash and carry sales are not kept in QuickBooks.
     
    Brokered sales orders
     
    – Brokered sales are called in to customer service by the brokers and sometimes directly by customers. The sales are entered into QuickBooks.
    – Because inventory is not tracked in QuickBooks, the generic item Brokered Item is used.
    – Two copies of the packing slip and printed from QuickBooks and sent to the warehouse.
     
    Order picking
     
    – The warehouse manager provides a container and the two copies of the packing slip to a picker.
    – Items that are out of stock are marked on both copies of the packing slip.
    – The shipping amount is determined and written on the packing slips.
    – One copy of the completed packing slip is placed in a basket for customer service.
    – Completed orders are boxed up with a copy of the invoice and shipped to customers.
     
    Order invoicing
     
    – Throughout the day, the customer service manager collects the packing slip copies and updates the invoices in QuickBooks.
    – The customer service manager adds a line for shipping with the amount provided by the packer.
    – The customer service manager prints a copy of the final invoice and sends it to the warehouse.
    – The accountant uses Microsoft Word to create weekly invoices for all shipments invoiced in QuickBooks during the week for some customers.
     
    Deposits
     
    – The accountant receives the deposit bag from the cash and carry sales desk at the end of every day.
    – Receipts are recorded in QuickBooks against cash and carry and brokered sales based on the deposit slips.
     
    Brokers commission
     
    – Brokers fees are paid as a percentage of sales.
    – A Sales by Product/Service Summary report is run in QuickBooks every month for Brokered Item to calculate what is owned.
     
    Requirements
    Customers
     
    – Users with permission must be able to quickly add new customers.
    – The original source of all customers in the accounting system must be identified to be from cash and carry or brokered sales.
    – The company needs to keep a record of special price promotions given to specific customers.
    – Customers must be identified with a unique general business posting group so that the correct freight G/L account is used in sales transactions.
     
    Sales
     
    – The customer source must be used to identify the business line, and the customer source must be indicated on every sales transaction.
    – Customer service and cash and carry desk associates must be able to enter sales into Dynamics 365 Business Central by customer.
    – Excess paper must be eliminated, and paper management must be reduced.
    – If a customer is not already listed in the system, a cash and carry associate or customer service associate must be able to quickly add the new customer in the process of recording the first sale.
    – A point-of-sale system is not needed, but users must be able to record which items are purchased by customers, accept and record their payment, and print receipts indicating paid in full.
     
    Items
     
    – The sales manager and warehouse manager must be able to set a specific timeframe for special promotion discounts on items.
    – For special promotions, discounts must be consistent for all items in a product line using a single discount calculation.
    – Special pricing may be given to a retail chain or buying group. This pricing must be automatically applied when an order is taken for any of these customers. The original price must be recorded with each sale.
    – Customers must always be charged the lowest amount for an item at the time of the sale. For example, an overstocked olive oil has a regular price of $20 per unit. Customers in a buying group for restaurants can buy it for $18 per unit. There is an autumn promotion price for the item at $19 per unit. However, on a specific day only, there is an overstock special at a 15 percent discount off the regular price.
    Sales invoices
     
    – Warehouse workers must be able to indicate the following in the system for each order:
    1. the items picked
    2. the shipping charges
    3. notifications, if any, that customer service needs to provide to the customer
    – Items sold at a discount must show the original price, discount, and net amount on each line of the invoice. Invoices must be posted at the cash and carry desk at the time of sale. For orders, accounting must post invoices and send them to customers.
    – Warehouse employees must be able to indicate what has been shipped on an order. They will use the G/L account for shipping charges. They need to use the correct G/L account for sales versus cost through proper assignment of sales and purchase accounts in the general posting setup.
    – Some of the brokered customers require one invoice per week regardless of the number of orders or shipments.
     
    Accounts
     
    – Payment terms vary by customer.
    – The amount paid to brokers must be calculated from sales after invoice discounts.
    – Broker vendors must be easily identifiable from other vendors in lists
    – Commission paid on sales not collected within 120 days must be deducted from brokers’ next compensation payment.
     
    Reporting
     
    Wide World Importers requires reporting on the following:
     
    – the overall profitability of each line of business at any time for any given period
    – the cost of outbound shipping in the overall profitability of sales by business line in all related reports
    – freight sales and cost by account in the trial balance
    – the cost of brokers’ compensation in reporting the overall profitability of sales by business line
    – the effect of item discount promotions in financial statements.
     
    Issues
     
    Pricing
     
    – Spreadsheets are used to maintain special item pricing and discounts. The only source of product line discount information is a whiteboard in the warehouse. The price charged is frequently incorrect.
    – Customers complain when they think they think they have not received the best price available. Promotions are sometimes applied in error after a special pricing event ends, for example, when discounts are offered temporarily to reduce overstock.
    – Management cannot see original versus actual price on all sales. Discounts given by brokers requires spreadsheets and comparison between price list and price on sales invoice. Management needs to be able to quickly see the discount given on each sale.
     
    Payment terms
     
    – Agreed-upon payment terms are frequently entered incorrectly on orders, causing cashflow issues.
    – Invoices already paid in full exist on the sales aging reports. The frequent cause of this issue is that sales from the cash and carry desk are not indicated as cash sales and are not posted as paid in full.
    – Some buying groups require that all invoices sent during a month be due on the 20th of the following month.
     
    Invoicing
     
    – Paperwork is frequently misplaced between the warehouse, customer service, and accounting.
    – Invoices that are posted in the accounting system based on shipments and invoices that are sent to customers weekly do not match due to errors transferring the data from one document to another.
    – Users are selecting the incorrect freight type (expense versus sales) on purchase and sales transactions, making it difficult to reconcile freight costs.
    – Sales placed from the cash and carry desk by customers originally acquired through a broker are not being recognized with the correct customer source. Reporting by business line is inaccurate.
     
    Accounts
     
    – Users often forget which fields to use to enter information when they add new customers to QuickBooks. This results in errors and inconsistencies in data and affects sales reporting. Confidence in sales reporting accuracy is low.
    – Adding new brokers is a different process than adding other purchase vendors. Users often forget which fields to select and how to correctly assign the vendor number to add new brokers.

    – Manual entries to certain G/L accounts cause reconciliation issues.

    1. You need to configure sales invoicing.

       What are two possible ways to achieve this goal? Each correct answer presents a complete solution.

       NOTE: Each correct selection is worth one point.

       • Combine Shipments
       • Get Shipment Lines from Sales Order
       • Sales Order Shipping
       • Sales Order Invoicing
       • Get Shipment Lines from Sales Invoice