Microsoft Dynamics 365 Supply Chain Management Functional Consultant Expert — Question 193
You are configuring a service management system that includes subscription billing.
The current system lacks functionality to accurately calculate and collect data about accrued subscription revenue.
You need to set up the accrual of subscription revenue to ensure accurate financial reporting.
Which two actions should you perform? Each correct answer presents part of the solution.
NOTE: Each correct selection is worth one point.
Answer options
- A. Configure the WIP - subscription account and Accrued revenue - on account.
- B. Enable revenue accrual on a subscription group.
- C. Configure the WIP - subscription account and Accrued revenue - subscription account.
- D. Disable revenue accrual on a subscription group.
Correct answer: B, C
Explanation
The correct answers are B and C. Enabling revenue accrual on a subscription group (B) ensures that revenue is recognized accurately over the subscription period, while configuring the WIP - subscription account and the Accrued revenue - subscription account (C) allows for proper tracking and reporting of accrued revenues. Options A and D do not contribute to the accurate accrual of subscription revenue as they either involve incorrect accounts or disable necessary functionality.