Microsoft MB6-702 Online Practice Questions and Exam Preparation

Microsoft MB6-702 Online Questions & Answers

• Question 31:

  An organization has a policy of charging depreciation based on the usage of the fixed asset in a fiscal year.

  You need to configure depreciation according to this policy.

  Which depreciation method should you use?

  A. Straight line service life
  B. Reducing balance
  C. Factor
  D. Consumption
  D. Consumption

  ---

  If you set up a depreciation profile for fixed assets and you select Consumption in the Method field in the Depreciation profiles form, the fixed assets that are assigned to this depreciation profile are based on the usage of those fixed assets.

  Reference: About consumption depreciation [AX 2012]

  Incorrect: Not A: When you set up a fixed asset depreciation profile and select Straight line service life in the Method field in the Depreciation profiles form, the assets that have this depreciation profile assigned to them are depreciated based on the total service life of the asset. This generally is the same depreciation amount in each depreciation period. Not B: When you set up a fixed asset depreciation profile and select Reducing balance in the Method field in the Depreciation profiles form, the assets that have this depreciation profile assigned to them are depreciated by the same percentage in each depreciation period. Not C: Factors are the percentages that are used to depreciate assets. When you set up a fixed asset depreciation profile and select Factor in the Method field in the Depreciation profiles form, you can set up progressive, digressive, or straight line depreciation: If you select progressive depreciation, the amount of depreciation increases with each depreciation period. If you select digressive depreciation, the amount of depreciation per period decreases over time. If you select straight line depreciation, the depreciation is the same in each period.

• Question 32:

  You enable invoice matching validation by using Microsoft Dynamics AX.

  Your organization has a policy that requires you to monitor freight cost variances by matching the purchase order to the vendor invoices.

  Which type of matching should you use?

  A. Charges matching
  B. Two-way matching
  C. Three-way matching
  D. Invoice totals matching
  A. Charges matching

  ---

  Charges matching Match the charges information (amounts) on the invoice to the charges information (amounts) on the purchase order.

  Incorrect:

  Not B: Two-way matching Match the price information on the invoice to the price information on the purchase order.

  Not C: Three-way matching Match the price information on the invoice to the price information on the purchase order. Also match the quantity information on the invoice to the quantity information on the product receipts that are selected for

  the invoice. Not D: Invoice totals matching Match the total amounts on the invoice to the total amounts on the purchase order. This type of invoice matching includes the least amount of detail, so you can use this option to set up controls that

  minimize the staff time that is required to review invoice matching information.

  Reference: About Accounts payable invoice matching [AX 2012]

• Question 33:

  You have an invoice for $10,000. One payment of $3,000 has already posted against this invoice.

  You need to allow cash discounts on the $3,000 payment.

  Which action should you perform?

  A. On the Accounts receivable parameters form, select the Calculate cash discounts for partial payments check box.
  B. On the Accounts receivable parameters form, select the Calculate cash discounts for credit notes check box.
  C. On the Cash discounts form, define the Discount principle area.
  D. On the Accounts receivable parameters form, select the Automatic settlement check box.
  A. On the Accounts receivable parameters form, select the Calculate cash discounts for partial payments check box.

  ---

  Partial payments with discounts

  A customer might make a partial payment, with the intention of making an additional partial payment to fully settle the invoice.

  For example, you offer a cash discount that specifies a 2% discount if the invoice is paid within 10 days of being issued. An invoice is posted for 100.00. If you receive a payment of 49.00 within 10 days, you would enter a credit of 49.00 in a

  payment journal. The credit amount is shown in the Amount to settle field in the Settle open transactions form. If the Calculate cash discounts for partial payments check box in the Accounts receivable parameters form is selected, the

  discount is automatically calculated. When you settle the partial payment in the Settle open transactions form, 1.00 is displayed in the Cash discount amount to take field. The discount amount is posted to a cash discount account.

  Reference: About partial customer payments [AX 2012]

  Incorrect:

  Not B: Credit notes with discounts

  A customer might return some of the items on an invoice and you issue a credit note. If a discount has previously been taken, you can subtract the value of the discount and refund the correct amount to the customer.

• Question 34:

  You select Business unit and Department as the only financial dimensions to use with budget control.

  You need to prevent a budget overrun on all direct expense accounts.

  What should you do?

  A. Select the accounting journals that are subject to budget control.
  B. Define the over budget permissions for user groups in the budget control configuration
  C. Select the source documents that are subject to budget control.
  D. Define the main accounts to use for budget checking in the budget control configuration.
  C. Select the source documents that are subject to budget control.

  ---

  Select source documents for budget control

  In the Select source documents area, you can select check boxes to determine the source documents that are subject to budget control. You can also select check boxes to enable budget checks as the lines for source documents are

  entered and saved.

  Reference: Set up budget control [AX 2012]

• Question 35:

  What is the purpose of a budget model?

  A. To assign a budget type to the budget register entries
  B. To group budget register transactions
  C. To assign workflow to budget register entries
  D. To select the financial dimensions to use for budgeting
  C. To assign workflow to budget register entries

  ---

  To indicate that budgets that are created from the budget model are included in cash flow forecasting, select the Cash flow forecasts check box.

  Note: Budget register entries let you track and audit budget activities, and can be used with workflow and with budget control.

  Reference: Create budget models [AX 2012]

• Question 36:

  You are performing a bank account reconciliation. On the account statement, you notice bank charges and bank interest. These charges and interest are unrecorded.

  You want to record these transactions simultaneously with the bank reconciliation.

  Where can you define the default accounts for such unrecorded bank transactions?

  A. On the Bank transaction groups form
  B. On the Bank accounts form
  C. On the Reconciliation matching rules form
  D. On the Bank transaction types form
  D. On the Bank transaction types form

  ---

  You can use bank transaction types to identify specific bank transactions. For example, you could create transaction types such as Fees, Charges, and Interest.

  Field: main account

  Select the main account for the transaction type, which is suggested automatically as the offset account on transaction lines with this bank transaction type. For example, when you post a correction transaction in bank account reconciliation,

  such as penny differences, bank fees, or interest charges, the offset main account appears automatically if you enter an account in this field for each bank transaction type.

  Reference: Bank transaction type (form) [AX 2012]

  Incorrect:

  Not B: Use this form to create and manage bank accounts. Not C: You can set up reconciliation matching rules and reconciliation matching rule sets to help the bank reconciliation process. Reconciliation matching rules are a set of criteria

  that are used to filter bank statement lines and bank document lines during the reconciliation process.

• Question 37:

  You need to ensure that you have the most current data to manage customer collections.

  What should you create first?

  A. A customer account statement
  B. A customer balance list
  C. A customer aging snapshot
  D. A customer pool
  C. A customer aging snapshot

  ---

  Customer aging snapshot.

  Use this form to create aging snapshots for customers. An aging snapshot contains the calculated aged balances for a group of customers at one point in time. Aging snapshots provide quick access to aging information for collections agents

  using the Collections form and related list pages.

  Reference: Customer aging snapshot (form) [AX 2012]

• Question 38:

  To which object can you link a budget register entry workflow?

  A. Budget models
  B. Budget transfer rules
  C. Journal names
  D. Budget codes
  D. Budget codes

  ---

  You can associate budget register entry workflows with any of the budget codes that have been set up to identify the budget types. After you assign a workflow to a budget code, all budget register entries that use that budget code require workflow approval before you can update budget balances.

  Reference: Set up Budgeting workflows [AX 2012]

• Question 39:

  What is the purpose of collections cases?

  A. To record nonsufficient funds (NSF) payments
  B. To calculate interest on overdue transactions
  C. To group collection activities and transactions
  D. To write off transactions that have been deemed uncollectable
  C. To group collection activities and transactions

  ---

  You can create collections cases to track collections information for one or more transactions and activities.

  Note: Managing and collecting for overdue transactions is a necessary function in many organizations. Most collections functionality is centralized in the Collections form and on the following related list pages: Collections, Collections activities, and Collections cases.

  Reference: Collections and credit in Accounts receivable [AX 2012] Key tasks: Collections [AX 2012]

• Question 40:

  You need to ensure that when a check is paid to your vendors, only one check is generated for each vendor. What should you configure?

  A. Terms of payments
  B. Payment day
  C. Payment schedule
  D. Method of payment
  D. Method of payment

  ---

  Follow these steps to set up methods of payments for checks.

  1.

  Click Accounts payable > Setup > Payment > Methods of payment.

  or

  Click Accounts receivable > Setup > Payment > Methods of payment.

  2.

  Click New to create a line.

  3.

  In the Method of payment field, enter an identifier, such as Check.

  4.

  In the Period field, select the period for which invoices in automatic payment proposals are combined:

  Invoice One payment transfer is created for each invoice.

  o

  Etc.

  Reference: Set up a method of payment for checks [AX 2012]