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Exam MB-310 topic 5 question 21 discussion

Actual exam question from Microsoft's MB-310
Question #: 21
Topic #: 5
[All MB-310 Questions]

A company implements Microsoft Dynamics 365 Finance to manage fixed assets. The company adds a laptop as a fixed asset.

You run a depreciation proposal. You observe that laptops are not eligible for depreciation.

You need to determine why you cannot depreciate the laptops.

Which feature should you review?

  • A. Depreciation convention
  • B. Net book value
  • C. Capitalization threshold
  • D. Number sequence
  • E. Posting layer
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Suggested Answer: C 🗳️
by bernardas at March 29, 2023, 9:17 a.m.

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bernardas
Highly Voted 7 months, 2 weeks ago
Selected Answer: C
The Capitalization threshold field determines the assets that are depreciated. If a purchase line is selected as a fixed asset, but it doesn't meet the specified capitalization threshold, a fixed asset is still created or updated, but the Calculate depreciation option is set to No. Therefore, the asset won't be automatically depreciated as part of the depreciation proposals. https://learn.microsoft.com/en-us/dynamics365/finance/fixed-assets/set-up-fixed-assets
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