Exam MB-330 topic 2 question 44 discussion

Actual exam question from Microsoft's MB-330

Question #: 44
Topic #: 2

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A distribution company that uses Dynamics 365 Supply Chain Management values inventory through standard cost. The company does not manufacture any products.

Some items require incremental updates to the standard cost. The original costs must be retained for reporting purposes.

You need to update the standard costs of the items.

What should you configure? To answer, select the appropriate options in the answer area.

NOTE: Each correct selection is worth one point.

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Suggested Answer:

by Vnes80 at March 26, 2023, 2:36 p.m.

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kikai

Highly Voted 1 year, 2 months ago

Fallback principle should be none. The company does not manufacture any products, and the fallback principle only applies to cost calculations for manufactured items. https://learn.microsoft.com/en-us/dynamicsax-2012/appuser-itpro/update-standard-costs-in-a-nonmanufacturing-environment

upvoted 6 times

H_Incandenza

8 months, 4 weeks ago

I would probably answer the same thing because the question is leading you to the documentation, but one thing you said is (as of now) incorrect: Cost calculations do not strictly apply to manufactured items. You can calculate the cost of a purchased item for example. This comes in handy if you want to add overhead on to the value of purchased goods. Second, in practice, I would never set my fallback to none.

upvoted 2 times

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Deetss

1 year, 1 month ago

I agree, 1: Two Version, 2: None, 3: Standard. Key phrase from the question being "The company does not manufacture any products." https://learn.microsoft.com/en-us/dynamics365/supply-chain/cost-management/update-standard-costs-non-manufacturing-environment

upvoted 5 times

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globeearth

Most Recent 4 months ago

Requirement 1: Determining costing version approach → b. Two versions One version holds current costs, the other prepares updates, retaining originals for reporting via revaluation history. Requirement 2: Set fallback principle → b. Costing version Fallback to the original version ensures continuity during updates, supporting standard cost stability. Requirement 3: Set cost type → a. Standard Matches the company’s standard costing method for distribution, with updates applied via revaluation.

upvoted 1 times

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Vnes80

1 year, 3 months ago

https://learn.microsoft.com/en-us/dynamics365/supply-chain/cost-management/manage-standard-cost-updates

upvoted 2 times

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