Microsoft Dynamics 365 Finance MB-310 Exam Dumps V11.02

1. Question Set 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 Finance.

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 into 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 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 Finance.

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 into 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 to Close All.

- Set all prior and 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 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 Finance.

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 into 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 to Close All .

- Set all prior and future Ledger periods to a status of On Hold .

Does the solution meet the goal?

4. HOTSPOT

You are implementing a Dynamics 365 Finance 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 Finance 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 Finance.

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?

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? 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 Finance. 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 Finance.

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 Finance 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 Finance. 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 Finance 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. 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.

22. HOTSPOT

A rental service company with complex accrual requirements has accrual schemes set up in its implementation. They want to use defined accrual schemes to perform transactions.

You need to use an accrual scheme to create transactions for this company.

Which actions should you perform? To answer, select the appropriate configuration in the answer area. NOTE: Each correct selection is worth one point.

23. DRAG DROP

You are configuring a Dynamics 365 Finance environment for intercompany accounting.

You create the following legal entities:

- CompanyA

- CompanyB

You need to configure intercompany accounting for both legal entities.

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. NOTE: More than one order of answer choices is correct. You will receive credit for any of the correct orders you select.

24. An organization plans to set up intercompany accounting between legal entities within the organization.

Automatic transactions between legal entities must meet the following requirements:

- Provides systemwide integration and streamlining to save time

- Minimizes errors and create an audit trail with full visibility into business activities and transaction histories within the legal entities

You need to set up intercompany accounting and create pairs of legal entities that can transact with each other, clearly defining the originating company and the destination company.

Which three actions should you perform? Each correct answer presents part of the solution. NOTE: Each correct selection is worth one point.

25. DRAG DROP

You are a controller in an organization. You are identifying cost drivers to see how changes in business activities affect the bottom line of your organization. You need to assess cost object performance to analyze actual versus budgeted cost and how resources are consumed. You need to demonstrate your understanding of cost accounting terminology.

Which component maps to the cost accounting terminology? To answer, drag the appropriate component to the correct cost accounting terminology. Each source may be used once. You may need to drag the split bar between panes or scroll to view content. NOTE: Each correct selection is worth one point.

26. SIMULATION

You are a functional consultant for Contoso Entertainment System USA (USMF).

You need to implement a quarterly accruals scheme for USMF. The accrual scheme settings must match the settings of the monthly and annual accrual schemes.

To complete this task, sign in to the Dynamics 365 portal.

27. SIMULATION

You are a functional consultant for Contoso Entertainment System USA (USMF).

USMF plans to implement a new manufacturing department that will be based in Australia.

You need to create a draft account structure for the new department. The account structure must use the same account structure as a department named Manufacturing India and be named Manufacturing Australia.

To complete this task, sign in to the Dynamics 365 portal.

28. SIMULATION

You are a functional consultant for Contoso Entertainment System USA (USMF).

You need to assign the Accountant closing role for the USMF legal entity to an employee named Theresa Jayne.

To complete this task, sign in to the Dynamics 365 portal.

29. SIMULATION

You are a functional consultant for Contoso Entertainment System USA (USMF).

You need to create a report that contains the sales tax settlements for the state of California during the quarter that began on January 1, 2017. To validate you results, save the file in Microsoft Excel format to the DownloadsReport folder.

To complete this task, sign in to the Dynamics 365 portal.

30. You are a Dynamics 365 Finance expert for an organization.

You need to configure the Financial period close workspace.

Which three configuration processes should you use? Each correct answer presents a part of the solution. NOTE: Each correct selection is worth one point,

31. You are a Dynamics 365 Finance consultant.

You are currently unable to collaborate or track progress toward month-end close across legal entities in the current system.

You need to resolve the issue.

What should you configure?

32. You are a Dynamics 365 Finance consultant. You plan to configure the allocation base, cost behavior, and cost distribution.

Which three actions do these configurations accomplish? Each correct answer presents a complete solution. NOTE: Each correct selection is worth one point.

33. 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?

34. A company plans to use Dynamics 365 Finance to calculate sales tax on sales orders.

You need to automatically calculate sales tax when the sales order is created.

Which three actions should you perform? Each correct answer presents part of the solution.

NOTE: Each correct selection is worth one point,

35. Testlet 2

Case study

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 this 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. If the case study has an All Information tab, note that the information displayed is identical to the information displayed on the subsequent tabs. When you are ready to answer a question, click the Question button to return to the question.

Background

Fourth Coffee is a coffee and supplies manufacturer based in Seattle. The company recently purchased CompanyA, based in the United States, and CompanyB, based in Canada, in order to increase production of their award-winning espresso machine and distribution of their dark roast coffee beans, respectively.

Fourth Coffee has set up CompanyA and CompanyB in their Dynamics 365 Finance environment to gain better visibility into the companies' profitability. CompanyA and CompanyB will continue to operate as subsidiaries of Fourth Coffee, but all operational companies will be consolidated under Fourth Coffee Holding Company in US dollars (USD) for reporting purposes.

The current organizational chart is shown below:

Current environment

Systemwide setup

- Dynamics 365 Finance in Microsoft Azure is used to manage the supply chain, retail, and financials.

- All companies share a Chart of Accounts.

- Two dimensions are used: Department and Division.

- Budgeting is controlled at the department level.

- Customers and vendors are defined as two groups: Domestic and International.

- Mandatory credit check is set to No.

- Consolidate online is used for the consolidation of all companies.

- International main accounts are subject to foreign currency revaluation.

- The purchasing budget is used to enforce purchasing limits.

General ledger accounts

Fourth Coffee

- The base currency is USD.

- Three item groups are used: coffee, supplies, and nonstock.

- The standard sales tax method is used.

- Acquiring fixed assets requires a purchase order.

- All customer payment journals require a deposit slip.

- CustomerX is a taxable company.

- CustomerY is a tax-exempt company.

- CustomerZ is a taxable company.

- VendorA is a Colombian supplier of coffee beans and belongs to the international vendor group.

- VendorB is a Peruvian supplier of coffee machine filters and belongs to the international vendor group.

- VendorC is a Texas supplier of espresso valves and belongs to the domestic vendor group.

CompanyA

- The base currency is USD.

- It consists of a marketing department and a digital division.

- A 4-5-4 calendar structure is used.

- The standard sales tax method is used.

CompanyB

- The base currency is CAD.

- The conditional sales tax method is used.

Requirements

Reporting

- A consolidated Fourth Coffee financial report is required in USD currency.

- Fourth Coffee and its subsidiaries need to be able to report sales by item type.

- Year-end adjustments need to be reported separately in a different period to view financial reporting inclusive and exclusive of year-end adjustments.

Issues

- User1 observes that a General journal was used in error to post to the Domestic Accounts Receivable trade account.

- User2 has to repeatedly reclassify vendor invoice journals in Fourth Coffee Company that are posted to the marketing department and digital division.

- When User3 posts an Accounts receivable payment journal, a deposit slip is not generated.

- User4 observes an increase in procurement department expenses for supplies.

- User5 observes that sales tax is not calculating on a sales order for CustomerZ.

- User6 observes that sales tax is calculating for CustomerY.

- User7 observes that the sales tax payment report is excluding posted invoice transactions.

- User8 in CompanyA attempts to set up the sales tax receivable account on the sales tax posting form.

- User9 in CompanyA needs to purchase three tablets by using a purchase order and record the devices as fixed assets.

- CustomerX requires a credit check when making a purchase and is currently at their credit limit.

HOTSPOT

You need to configure settings to resolve User1’s issue.

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