Microsoft Dynamics 365: Finance and Operations Apps Solution Architect — Question 42

A company is upgrading its existing operational software to an enterprise resource planning (ERP) system and is evaluating Dynamics 365 Finance.

The company is setup with the following:

• One parent company based in the US and three fully owned subsidiaries that use US dollars (USD) for the accounting currency.
• Two partially owned subsidiaries that use Canadian dollars (CAD) for the accounting currency.
• Distribution facilities in both Canada and the US.
• Project managers travel to customer locations.
• Intercompany sales are transacted between the US subsidiaries.
• E-commerce business-to-business (B2B) sales.
• A call center that receives customer orders.

The company has the following requirements:

• Must provide an asset maintenance capability.
• Must provide a purchase requisition approval process.
• Must provide an invoice approval process.

You need to identify which functional component of Dynamics 365 Finance to implement.

Which functional component should you use?

Answer options

Correct answer: A

Explanation

The correct answer is A, Elimination, as it addresses intercompany transactions, which is essential for a company with multiple subsidiaries. Option B, Asset maintenance work orders, focuses on asset management but does not cover intercompany needs. Option C, Site and warehouse setup, pertains to logistics rather than the financial intercompany transactions. Option D, Purchase requisition workflow, is relevant for purchase approvals but does not meet the broader requirement for handling intercompany sales.