Exam MB-310 topic 5 question 27 discussion

Actual exam question from Microsoft's MB-310

Question #: 27
Topic #: 5

A company uses Microsoft Dynamics 365 Finance.

You need to reclassify a fixed asset.

Which three actions does the system perform when an asset is reclassified? Each correct answer presents part of the solution.

NOTE: Each correct selection is worth one point.

A. The system will generate reclassification journals.
B. The new books of the new fixed asset contain the date of the reclassification in the Acquisition date field.
C. All books for the existing fixed asset are created for the new fixed asset.
D. The existing fixed asset transactions for the original fixed asset are canceled and regenerated for the new fixed asset.
E. The new fixed asset only cancels out possible depreciations because the reclassification date is filled in in the Acquisition date field.