MB6-893

Microsoft Dynamics AX Financials

Exam: MB6-893
Edition: 2.0

CERT MAGIC

1 http://www.certmagic.com
 MB6-893

QUESTION: 1
Your company is using basic budgeting and is planning to configure budget control. You
need to identify the additional configuration that is needed.
Which three components will already be configured as s part of the basic Budgeting
setup? Each correct answer presents part of the solution.

A. budget models
B. budget exchange rates
C. over budget permissions
D. budget cycles
E. documents and journals

Answer: C, D, E

QUESTION: 2
You are setting up the budgeting module for your employer and are given a list of budget
codes needed in the system. You want to create a "Preliminary" budget code but are
unable to select it on the "budget Codes" form. Which configuration key enables
"Preliminary" and "Apportionments" budget types?

A. General Ledger- advanced II configuration key

B. Budget control configuration key
C. General Ledger configuration key
D. Public Sector configuration key

Answer: A

QUESTION: 3
You decide that department managers must submit budget plans to you each quarter.
You need to use the budget planning template wizard to generate a budget planning
template that each department submit to you. What are three prerequisites for creating a
template for budget plan worksheets? Each correct answer presents part of the solution.

A. Create a budget plan and review its information by using a worksheet template.
B. Decide which matrix fields to create.
C. Select the worksheet template to use for the budget planning process.
D. Decide which fields to use for the header.
E. Decide which columns to include on the worksheet.

Answer: A, B, D

2 http://www.certmagic.com
 MB6-893

QUESTION: 4
You need all budget transfers to use a workflow except the specific members of the budget
transfer rules. When creating a budget transfer rule, what information is used to define
when transfers are allowed?

A. the dimensions on the transfer

B. the amount of the transfer
C. the date of the transfer
D. the employee requesting the transfer

Answer: C

QUESTION: 5
Your company is considering tracking budgets by Account, Department, and Cost Center
dimensions. There is a requirement to prevent exceeding the budgeted amounts for each
Department but not for each Cost Center.
Which three actions must be performed to allow budget control for Accounts and
Department, and basic budgeting by Account, Departments, and Cost Center, before
budget control is enabled?
Each correct answer presents part of the solution.

A. Select only "MainAccount" and "Department" as budgeting dimensions.

B. Select the main accounts for budget control.
C. Select only "MainAccount" and "Department" as budget control dimensions.
D. Select only "Department" as a budget control dimension.
E. Select only "MainAccount," "Department" and "CostCenter" as budgeting dimensions.

Answer: B, C, D

QUESTION: 6
You are creating a budget register entry. You notice that a manual budget reservation will
exceed the budget. What should you do within the budget register entry to satisfy the
over-budget condition?

A. enter recurrence
B. transfer balances
C. allocate across periods
D. allocate across dimensions

Answer: A

3 http://www.certmagic.com
 MB6-893

QUESTION: 7
You are creating a new budget and realize that you need to allocate a certain percentage of
the total budget amount across defined periods.
In order to do this on the budget register entry, you need to define the percentage that will
be allocated in each period.
What should you set up in order to achieve this goal?

A. budget transfer
B. period allocation key
C. budget allocation term
D. budget cycle

Answer: D

QUESTION: 8
You are an accountant.
You are creating your travel expense budget for the fiscal year and want to enter the same
budget amount for each month.
On the budget register entry, which option should you choose?

A. transfer balances
B. allocate across dimensions
C. enter recurrence
D. allocate across periods

Answer: A

QUESTION: 9
You are the director of finance.
You are starting to create budgets for the fiscal year and want to generate budget plans
from source information.
Which three options can you choose from in Microsoft Dynamics AX Financials? Each
correct answer presents a complete solution.

A. Generate budget plan from general ledger.

B. Generate budget plan from fixed assets
C. Generate budget plan from forecast positions
D. Generate budget plan from yearly sales
E. Generate budget plans from yearly purchases

Answer: B, D, E

4 http://www.certmagic.com
 MB6-893

QUESTION: 10
You are creating a parent budget plan that will consist of budget amounts for all
departments. You then need to create associate budget plans and link them to the parent
budget. Before you can create the associate budget plans, which two steps must be
complete? Each correct answer presents part of the solution.

A. The budget plan priority must be selected on the budget plan creation.
B. The budget organization hierarchy must have at least two levels.
C. The budget planning process that you select must be set up for associated budget plans.
D. The individual preparing the budget plan needs appropriate permissions to create an
associate budget plan.

Answer: AC

QUESTION: 11
You are creating a new budget plan and want to allocate the budget plan lines from the
source budget plan scenario in the parent budget plan to the destination scenario in the
associated budget plans. Which allocation method should you use?

A. Allocate across periods

B. Use ledger allocation rule
C. Distribute
D. Aggregate

Answer: C

QUESTION: 12
You are an accounts receivable manager. Your company levies a fine with a high-interest
premium on a customer's overdue amount. The customer disputes this fine and succeeds.
You need to waive the fine in Microsoft Dynamics AX Financials. What should you do?

A. Print/Post Interest notes.

B. Create an interest adjustment.
C. Print/Post Collection letter notes.
D. Generate a customer account statement.

Answer: D

QUESTION: 13
You need to analyze the maturity of customer accounts and vendor accounts, based on a

5 http://www.certmagic.com
 MB6-893

date that you enter. The date entered, together with the Unit and Interval information
defined, will be used to calculate and view the transactions.
What should you do?

A. Set up Aging period definition.

B. Set up Customer pool.
C. Set up Aging snapshot.
D. Set up interest codes.

Answer: C

QUESTION: 14
You need to consolidate multiple subsidiary company transactions into the consolidation
company in Microsoft Dynamics AX Financials.
You need to modify the financial dimensions at the time of consolidation, such as
including the originating company code on each transaction.
When performing a consolidation in Dynamics AX, which three specifications can be
selected for each dimension? Each correct answer presents a complete solution.

A. group dimension
B. main accounts
C. dimension
D. operating units
E. company accounts

Answer: A, C, D

QUESTION: 15
Your company decides to use Microsoft Dynamics AX Financials for consolidated
financial reporting instead of using Management Reporter.
You need to configure a new legal entity for the consolidated financial transactions.
What must you do to enable the subsidiary company's transactions to consolidate into the
new legal entity that you are creating?

A. Enable the "Use for financial consolidation process" check box in both the consolidated
and subsidiary companies.
B. Enable the "Use for financial consolidation process" check box in the subsidiary
company.
C. Enable the "Use for financial elimination process" check box in the consolidation
company.
D. Enable the "Use for financial consolidation process" check box for the consolidated
company.

6 http://www.certmagic.com
 MB6-893

Answer: B

QUESTION: 16
What are the three advanced collection management tasks that are performed in Microsoft
Dynamics AX Financials to manage collections? Each correct answer presents the part of
the solution.

A. waive, reinstate, or reverse interest and fees

B. create write-off transactions
C. set up interest codes
D. set up Customer pool
E. process non-sufficient funds (NSF) payments

Answer: C, D, E

QUESTION: 17
You are a credit and collections manager. You receive a check of 20,000 USD from a
customer against overdue invoices. However, the bank informs you that the customer
funds do not exist, and the check does not clear. You need to cancel the payment and
charge the customer for this occurrence. What should you do?

A. waive, reinstate, or reverse interest and fees

B. create write-off transactions
C. process non-sufficient funds (NSF) payments
D. set up interest adjustments.

Answer: D

QUESTION: 18
You are a credit manager. You want to set up a process in your system to send customers
a notification of their balances due if the balance fails to clear within the due date. You
also need to apply additional fees to charge the customer on the balance due as per your
company policies. What should you do?

A. Generate a report for customer transactions.

B. Generate a customer accounts statement.
C. Generate an internal accounts statement.
D. Generate a collection letter note.

Answer: A

7 http://www.certmagic.com
 MB6-893

QUESTION: 19
You want a 2% bank charge to appear by default on all electronic methods of payment.
What do you need to set up and then link to the method of payment?

A. terms of payment
B. payment specification
C. payment fee
D. payment control

Answer: B

QUESTION: 20
You are an account payable clerk.
When creating purchase order invoices, your company has a policy that you must match
the purchase order, product receipt quantities, and amounts to the vendor invoice.
In the Accounts Payable Parameters, which line-matching policy should you choose?

A. two-way matching
B. charges matching
C. not required
D. three-way matching

Answer: C

QUESTION: 21
You are an accounts receivable manager.
You need to categorize the customer payment journal lines as deposits for reporting
purposes on the bank statement. What should this manager create and define on the
journal lines to categorize them as deposits?

A. default descriptions
B. reason code
C. payment reference
D. bank transaction type

Answer: B

QUESTION: 22
A controller wants to run a Trial Balance report by main account and department. What

8 http://www.certmagic.com
 MB6-893

does the controller need to set up so that Microsoft Dynamics AX Financials will allow
this selection during the generation of the Trial Balance report?

A. advanced rule structures

B. derived financial hierarchies
C. financial dimension sets
D. accounts structures

Answer: D

QUESTION: 23
A new customer requests to pay their bills in installments, and your company agrees to
this request. You need to set up the customer record so that the payments can be processed
correctly. What should be added to the customer record?

A. payment schedule
B. allocation rule
C. terms of payment
D. method of payment

Answer: A

QUESTION: 24
Your customer needs to set up Fixed assets and treat them as though they were purchased
and placed in service at the mid-point of the first year, no matter when during that year the
purchase was actually made. Which depreciation convention should you use when
creating the depreciation profile?

A. full month
B. half year
C. mid quarter
D. mid month

Answer: B

QUESTION: 25
You are setting up an allocation rule and distributing amounts based on revenue dollars.
You need to share the cost of corporate advertising expenses across all departments and
base each department's sales in proportion to the total sales of all departments.
Which allocation should you choose?

9 http://www.certmagic.com
 MB6-893

A. Fixed Percentage
B. Equally
C. Fixed Weight
D. Basis

Answer: B

QUESTION: 26
Your bank requires that you send prenotes (zero dollar transactions) to the bank to verify
data. You need to set up the cash and back management module to allow the creation of
prenotes. Which two actions should you perform? Each correct answer presents part of the
solution.

A. Set "Allow copies of payments" in the Cash and bank management parameters to Yes.
B. Set "Activate prenotes" in the Bank accounts to Yes.
C. Set "Allow prenote creation on inactive bank accounts" in the Cash and bank
management parameters to Yes.
D. Set "Prenotes" required in the Bank accounts to Yes.

Answer: A, B

QUESTION: 27
You are setting up a system to process supplier taxes.
You want to set up the tax so that a user can deduct the tax from a supplier invoice and
report the deducted tax to tax authorities.
Which tax type should you set up?

A. standard sales tax

B. withholding sales tax
C. sales tax exemption
D. conditional sales taxes

Answer: C

QUESTION: 28
You are an account manager. At the end of each month when you close an account, you
are required to make the same entry with the same account numbers and currency
amounts. You want to make the process quicker so that each month, you process the
journal and post it with the appropriate accounting date. What should you create?

10 http://www.certmagic.com
 MB6-893

A. Voucher template
B. Ledger accruals
C. Periodic journal
D. Ledger allocation rules

Answer: D

QUESTION: 29
You are an accounts payable manager.
you receive a rent invoice from a vendor for the next quarter. The total amount of the
invoice is 300 USD. If you directly enter the amount, all of the charges will be allocated
for the same period. However, you want to post the invoice in each appropriate period.
What should you create?

A. Voucher template
B. Ledger accruals
C. Periodic journal
D. Ledger allocation rules

Answer: A

QUESTION: 30
You need to create recurring free text invoice template.
Which three recurrence patterns are available in the Recurring invoices form on the
customer record? Each correct answer presents a complete solution.

A. Monthly
B. Weekly
C. Yearly
D. Quarterly
E. Hourly

Answer: A, C, E

QUESTION: 31
A financial controller wants to match the total amounts on an invoice to the total amounts
on a purchase order. Which type of matching should the controller use?

A. Two-way matching
B. Not required
C. Charges matching

11 http://www.certmagic.com
 MB6-893

D. Three-way matching

Answer: D

QUESTION: 32
Your company has decided to add five new vendors for purchasing and you are
responsible for configuring the vendors in the new system.
You want to group vendors by some specific values that are shared across multiple
vendors and you have identified vender groups on the vendor group from, which two
specific values can be defined? Each correct answer presents a complete solution.

A. Terms of payment
B. aging periods
C. matching policy
D. default tax group

Answer: B, D

QUESTION: 33
You are processing a customer payment and want to generate a payment line based on due
date so that you can search the invoice lines that meet selected search criteria.
What should you do?

A. Use Settlement
B. Use payment transfer.
C. Use Manual Payment Journal
D. Use Payment proposal

Answer: A

QUESTION: 34
You are an accounts payable clerk. During a check run, Microsoft Dynamics AX
Financials generates a check and posts the payment journal. The check is sent to the
vendor, but you then learn form the vendor that the check has not been received. In order
to reverse the check payment, which two actions should you perform? Each correct answer
presents part of the solution.

A. Go into the check reversal journal, and post the check reversal
B. From the Settle transaction screen on the vendor record, select the invoice and
payment, and post it.
C. From the checks from select to reverse the check

12 http://www.certmagic.com
 MB6-893

D. Create a new vendor payment journal and add a reversing entry.

Answer: C, D

QUESTION: 35
When generating a bank statement report, you notice entries for Received checks and
Issued checks. These entries are all unidentified. You want to identify the checks
transactions simultaneously by using the bank statement report where should you define
the default accounts for bank transactions of unidentified checks?

A. On the Reconciliation matching rules from

B. On the Bank transaction types from
C. On the Bank accounts from
D. On the Bank transaction group form

Answer: A

QUESTION: 36
An organization has a policy of charging the same depreciation amount for the fixed asset
in each depreciation period. You need to configure depreciation according to this policy.
Which depreciation method should you use?

A. Straight line service life

B. Consumption
C. Reducing balance
D. Factor

Answer: A

QUESTION: 37
You are the accounts payable manager in a European subsidiary of your company.
Your company purchases goods from a vendor that is not located in Europe. The vendor
did not charge sales tax on the invoice but the customs office sends an invoice because the
goods crossed the border and the company declared them at customs.

A. Report sales tax on the imported goods.

B. Report withholding sales tax on the imported goods.
C. Report conditional sales tax on the imported goods
D. Report sales tax exemption on the imported goods.

13 http://www.certmagic.com
 MB6-893

Answer: A

QUESTION: 38
An accountant wants to create a journal of amount 100 USD, exclusive of sales tax,
against a customer. The accountant needs to modify the "Amount incl. sale tax" field so
that it applies only to the journal created. Which setting should the accountant use?

A. Individual Journal line

B. Individual Journal from
C. General ledger, Journal names from
D. General ledger, Parameters from

Answer: D

QUESTION: 39
You are setting up taxes on customer invoices. You need to report a sales tax on the
invoice, as and when it is settled, to the tax authorities.
When the customer settles the invoice with the second payment of 625 USD, you report
the remaining sales tax. What should you set up in this situation?

A. Withholding sales tax

B. Sales tax exemption
C. Standard sales tax
D. Conditional sales taxes

Answer: D

QUESTION: 40
You are an accounting manager, your company has a new customer, A ledger account
must be set up to record the sales tax liability and payments made to the taxing authority
in the customer's specific region automatically. Which two account groups should you
choose for these ledger accounts? Each correct answer presents part of the solution.

A. Settlement account
B. Sales-tax receivable
C. Sales-tax payable
D. Use-tax payable

14 http://www.certmagic.com
 MB6-893

Answer: C, D

QUESTION: 41
You are setting up sales tax on sales order for you customer. You need to define the setup
so that it calculates as follows:

A. Define "Origin" under " Calculation parameter" on the sales tax code as "Percentages
on sales tax".
B. Define "Calculation method" under "Calculation parameter" on the sales tax code as
"Whole amount".
C. Define three sales tax codes. One for each tax rate.
D. Define "Calculation method" under "Calculation parameter" on the sales tax code as
"Inter-val"

Answer: D

QUESTION: 42
You are the accounts receivable manager at you company. The company receives an
advance of 10,000 USD against a sales order from the customer. The tax authorities
require the company to report the sales tax on the advance amount, even though the sales
have not been made. You need to ensure that this requirement is fulfilled. What should
you do?

A. Report sales tax on prepayment against a prepayment voucher.

B. Report sales tax exemption against a prepayment voucher.
C. Report withholding sales tax against a prepayment voucher.
D. Report conditional sales tax against a prepayment voucher.

Answer: C

QUESTION: 43
You have a new customer who pays their invoices on Tuesday and Thursday of every
week You need to define this payment t cycle on the customer record. What should you
do?

15 http://www.certmagic.com
 MB6-893

A. Create a Method of Payment with this payment cycle, and assign it to the customer.
B. Create a Farms of Payment with this payment cycle, and assign it to the customer
record
C. Create a Payment Day with this payment cycle, and assign it to the customer.
D. Create a Payment Schedule with this payment cycle, and assign it to the customer.

Answer: C

QUESTION: 44
An accountant needs to define which main accounts and financial dimensions cannot used
together when entering journals and transactions.
The accountant sets up the chart of accounts and creates the financial dimensions. What
are two possible actions the accountant can perform next to achieve the goal? Each
correct answer presents a complete solution.

A. Configure Account Structure.

B. Create Derived Financial Hierarchies.
C. Set up Advanced Rules.
D. Set up Financial Dimension Sets.

Answer: B, D

QUESTION: 45
You are an accounts receivable manager.
You have an agreement with a customer that they will pay installments on the 25th day of
the month every three months.
On the customer terms of payment, which three settings do you need to specify? Each
correct answer presents part of the solution.

A. cash payment
B. payment method
C. payment type
D. payment day
E. payment schedule

Answer: C, D, E

QUESTION: 46
A controller wants to run a Trial Balance report by main account and department
What does that controller need to set up so that Microsoft Dynamics AX Financials will

16 http://www.certmagic.com
 MB6-893

allow this selection during the generation of the Trial Balance report?

A. derived financial hierarchies

B. advanced rule structures
C. financial dimension sets
D. account structures

Answer: A

QUESTION: 47
You are the finance manager at your company, and you are configuring the bank module.
Your primary concern is reviewing processes before posting.
Aside from workflow, which two processes are in the cash and bank parameters for an un-
posted journal to be created before posting? Each correct answer presents a complete
solution.

A. intercompany transfers
B. electronic payments
C. deposit slip cancellations
D. check reversals

Answer: B, D

QUESTION: 48
You need to create a new fixed asset and assign a depreciation profile.
You want this fixed asset to be depreciated by the same percentage in each depreciation
period. Which depreciation method should be set in the depreciation profile?

A. factor
B. manual
C. reducing balance
D. straight line service life

Answer: D

QUESTION: 49
Your company receives several invoices on which the sales lax amount differs from what
Microsoft Dynamics AX Financials calculates automatically.
To make the sales tax amounts match the invoices, you need to revise the sales tax amount
on a transaction before posting.
What are the three types of revisions that you can perform? Each correct answer presents

17 http://www.certmagic.com
 MB6-893

part of the solution.

A. Enter a correction of the sales tax amount in the "Actual sales tax amount" field for a
selected sales tax code line.
B. Enter an adjustment amount in the "Actual sales tax charge" field if the transaction has
several sales tax code lines.
C. Enter adjustments to the use tax amount in the "Total actual sales tax amount" field if
the sales tax code line applies to use taxes.
D. Enter adjustments to the use tax amount in the "Actual sales tax charge" field if the
sales tax code line applies to use taxes.
E. Enter an adjustment amount in the "Total actual sales tax amount" field if the
transaction has several sales tax code lines.

Answer: A, B, C

QUESTION: 50
You are setting up a sales tax for your customer.
You need to define the ledger account 100001 of posting type "Sales tax" on the ledger
posting group for the customer. Which account group should you choose?

A. use-tax payable
B. use-tax expense
C. sales-tax receivable
D. sales-tax payable

Answer: C

QUESTION: 51
You are setting up taxes on customer invoices.
You need to report a sales tax on the invoice, as and when it is settled, to the tax
authorities.
-On January 10, you create an invoice of 1,000 USD, plus 250 USD in sales tax.
-On February 15, the customer pays half of the invoice, 500 USD, plus 125 USD in sales
tax.
-On March 10, you report tax for February. The 125 USD is included in the sales tax
payment.
When the customer settles the invoice with the second payment of 625 USD, you report
the remaining sales tax.
What should you set up in this situation?

A. sales tax exemption

B. standard sales tax
C. withholding sales tax

18 http://www.certmagic.com
 MB6-893

D. conditional sales taxes

Answer: A

QUESTION: 52
You are the accounting manager at your company.
Recently, the company started conducting business with a customer in a different location.
You need to create setup procedures that can be used to report sales taxes to the
government of this location. What should you do?

A. Set up sales-tax payable.

B. Set up sales-tax authorities.
C. Set up sales-tax receivable.
D. Set up use-tax payable.

Answer: B

QUESTION: 53
You are an accounts payable manager.
Your company buys office supplies from an out-of-state vendor. The vendor charges
100.00 USD for the supplies and no tax. The company may still owe taxes to the sales tax
authority in its own state.
You need to define the ledger account to manage these transactions. Which account group
should you choose?

A. use-tax payable
B. use-tax expense
C. sales-tax receivable
D. sales-tax payable

Answer: C

QUESTION: 54
You are the controller in a foreign subsidiary of your company.
You are creating a sales order with no sales tax for a foreign customer. You need to report
this sales by creating a tax code. What should you set up in this situation?

A. conditional sales tax

B. withholding sales tax
C. standard sales tax
D. sales tax exemption

19 http://www.certmagic.com
 MB6-893

Answer: D

QUESTION: 55
Your company is planning on using budget control.
You need to designate which document types will have budget control on line-entry and
which document types will have budget control upon posting.
Which three documents allow you to enable the budget control at line-entry? Each
correct answer presents a complete solution.

A. Purchase Requisitions
B. Sales Orders
C. Project Timesheets
D. Expense Reports
E. Purchase Orders

Answer: C, D, E

QUESTION: 56
You are creating budget plans for the next fiscal period.
You need to add budget amounts, such as salary and benefits, into the budget plan lines
for an employee. Which method of generating a budget plan should you use?

A. Generate a budget plan from project forecasts.

B. Generate a budget plan from forecast positions.
C. Generate a budget plan from the general ledger.
D. Generate a budget plan from the budget plan.

Answer: A

QUESTION: 57
The finance department of a company is analyzing which budgeting methodology it wants
to use for the next fiscal year.
The department has narrowed the options down to historical budgeting and zero-based
budgeting. Which advantage does a historical budgeting methodology provide over a
zero-based budgeting methodology?

A. eliminates inflated budgets since performance determines the next budget

B. stabilizes budget and offers gradual change
C. helps to identify opportunities for outsourcing
D. drives managers to find cost-effective ways to improve operations

20 http://www.certmagic.com
 MB6-893

Answer: D

QUESTION: 58
A budget manager is considering which components of Microsoft Dynamics AX
Financials budgeting are required to meet company needs. The key requirement is that
department-level budgetary changes for the following year must undergo an approval
process through the requester's manager and a final approval by the budget manager.
Which three Dynamics AX budgeting components are required to accomplish budget
tracking and workflow for the following year's budget? Each correct answer presents part
of the solution.

A. Budget Register Entries

B. Budget Planning
C. Budget Control
D. Basic Budgeting
E. Budget Reservations

Answer: A, C, E

QUESTION: 59
You are implementing fixed assets for your company. Your company buys a machine for
100.000 USD and recognizes 10,000 USD of depreciation per year over the following ten
years. At that time, the machine is not only fully depreciated, but the company is
eliminating the machine without receiving any payment in return. What are two available
methods to eliminate a fixed asset? Each correct answer presents a complete solution.

A. Revaluation
B. Provision for reserve
C. Disposal scrap
D. Disposal sale

Answer: C, D

QUESTION: 60
You are an accounts payable clerk.
You receive an invoice of 1,000 USD from a vendor. You need to transfer it to an invoice
approval pool for the assigned manager to approve before you post the invoice.
Which type of invoice should you use?

A. vendor invoice

21 http://www.certmagic.com
 MB6-893

B. invoice journal
C. voucher template
D. invoice register

Answer: B

QUESTION: 61
Your company creates a bank account for U.S. payroll disbursements.
You need to configure the new bank account in Microsoft Dynamics AX Financials and
configure the check layout. You notice the date is printing in DD-MM-YYYY format, and
you are not able to change the date format on the check layout form.
What determines the format of the date?

A. bank group on the bank groups form

B. check form setting on the check layout form
C. bank on the bank account form
D. vendor on the vendor form

Answer: A

QUESTION: 62
Your company needs to reuse a check number in case a check was printed incorrectly or
the check stock was not used. You need to allow reuse of the check number. Where do
you define this action?

A. in the Vendors area of the Accounts payable parameters setup form

B. in the Customers area of Accounts receivable parameters setup form
C. in the Cash and bank management parameters form of the Cash and bank management
parameters setup form
D. in the Posting area of the General ledger parameters setup form

Answer: A

QUESTION: 63
Your company creates a policy that requires invoice matching information on documents.
Which three types of documents are used for invoice matching?
Each correct answer presents part of the solution.

A. purchase order
B. vendor invoice
C. receipts list

22 http://www.certmagic.com
 MB6-893

D. purchase order confirmation

E. product receipt

Answer: C, D, E

QUESTION: 64
You are an accountant responsible for vendor payment processing.
In the role of controller, you want to post a transaction of 5,000 USD that the company
paid for audio-visual equipment to a vendor using a general journal entry. You select
account type as Vendor and select the vendor account.
Which two options are a valid offset account type on the journal line? Each correct
answer presents a complete solution.

A. Vendor
B. Bank
C. Fixed Assets
D. Customer

Answer: A, B

QUESTION: 65
Because of an agreement that your company has with a customer about when a payment
can be posted, you need to prevent users from posting payments until a specified date.
Which field should you update on the customer payment journal to achieve this goal?

A. Due date
B. Approval date
C. Release date
D. Payment date

Answer: C

QUESTION: 66
Your company wants to establish a team to manage customer payments.
You need to set up employees and contracts, and assign customer pools to them so that the
company can work with customers to make sure that payments are collected in a timely
manner. What should you do?

A. Set up collection agents.

B. Set up aging buckets.
C. Set up customer pools.

23 http://www.certmagic.com
 MB6-893

D. Set up a collection team.

Answer: A, C

QUESTION: 67
Your company has acquired an additional company and wants any differences from the
consolidation to be posted to the profit and loss account.
What should you configure to achieve this goal?

A. account for automatic transactions

B. transaction posting definitions
C. liquidity accounts
D. balance control account

Answer: A

QUESTION: 68
You are a credit and collections manager.
You need to group all customers who are based in a single city and have balances greater
than 10,000 USD so that the collections process is streamlined for the collections agent.
What should you do?

A. Set up collection agents.

B. Set up collections case category.
C. Set up customer pools.
D. Create a collections team.

Answer: D

QUESTION: 69
You are an accounts receivable manager.
Your company instituted a two-level collection letter plan for a customer. The result was
not as effective as your company had anticipated. Now you need to institute a plan that
charges the overdue customer with a high-interest premium on the amount due.
What should you do?

A. Set up a customer accounts statement.

B. Set up interest adjustments.
C. Set up a collection letter note
D. Set up interest codes.

24 http://www.certmagic.com
 MB6-893

Answer: B

QUESTION: 70
You are implementing consolidations for your company. You want to use the
consolidation conversion principles to convert subsidiary data in foreign currencies.
What are three requirements for starting the consolidation process? Each correct answer
presents part of the solution.

A. Consolidation accounts
B. Balance control account
C. Consolidation account group
D. Legal Entity
E. Ledger elimination rule

Answer: A, D, E

QUESTION: 71
You are the credit and collections manager at your company.
You set up an aging period definition based on your company's standard collections terms
of 0, 90, and 180 days. Earlier this week, you had a telephone call with the customer about
the invoices on their account that are overdue. During the call, the customer promised to
pay the dues.
Which three actions should you perform to manage the collection process in the system?
Each correct answer presents part of the solution.

A. Send an email to the customer, including the statement.

B. Process non-sufficient funds (NSF).
C. Perform Write-Offs.
D. Change the status of invoices against the customer to "Promise to pay.
E. Update aging snapshot.

Answer: B, C, E

QUESTION: 72
You are an accounts receivable manager.
You need to generate a document that you can send to for a period. What should you do?

A. Generate an internal accounts statement.

B. Generate a report for customer transactions.
C. Generate a collection letter note.
D. Generate a customer accounts statement.

25 http://www.certmagic.com
 MB6-893

Answer: A

QUESTION: 73
You are creating a project budget for the year and are working on the different types of
projects to base the project on. Project budgets allow projections based only on which
three criteria? Each correct answer presents a complete solution.

A. Group
B. Amount
C. Activity
D. Category
E. Estimate

Answer: C, D, E

QUESTION: 74
You are generating a budget plan from the general ledger.
You first need to select an Action (reason) for how you want to create this budget plan.
Which three options can you choose from in Microsoft Dynamics AX Financials? Each
correct answer presents a complete solution.

A. Update the existing budget plan scenario based on a factor.

B. Update the existing budget plan scenario, and append new data.
C. Create a new budget plan from a template.
D. Create a new budget plan.
E. Replace the existing budget plan scenario.

Answer: A, B, C

QUESTION: 75
You are the director of finance.
You are starting to create budgets for the fiscal year and want to generate budget plans
from prior year expenses. However, this year, you know your expenses will be more than
last.
Which field should you set in the generate budget plan from the general ledger form to
account for this increase in budget?

A. Minimum
B. Percent
C. Factor

26 http://www.certmagic.com
 MB6-893

D. Rounding rule

Answer: B

QUESTION: 76
You are creating a new budget and realize that you need to allocate a certain percentage of
the total budget amount across financial dimensions.
In order to do this on the budget register entry, you need to define the percentage that will
be allocated to each financial dimension. What should you set up?

A. budget cycle
B. budget transfer
C. budget allocation terms
D. period allocation key

Answer: A

27 http://www.certmagic.com