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Exam MB-310 topic 4 question 25 discussion

Actual exam question from Microsoft's MB-310
Question #: 25
Topic #: 4
[All MB-310 Questions]

You create a parent budget for the next fiscal year of a parent company. The parent company is configured as its own legal entity.

Franchises are configured as separate legal entities. The parent company sets the budget for each franchise based on the past year’s performance.

Ledger allocation rules, periods allocation keys, and budget allocation terms have not been created. Budget line items must be allocated to the budget for each franchise.

You need to ensure the franchise budgets are allocated.

What should you do?

  • A. Create ledger allocation rules. Set the allocation method to use ledger allocation rules.
  • B. Create period allocation keys. Set the allocation method to allocate across periods.
  • C. Set the allocation method to distribute.
  • D. Set the allocation method to aggregate.
  • E. Create budget allocation terms. Set the allocation method to allocate to dimensions.
Show Suggested Answer Hide Answer
Suggested Answer: C 🗳️

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globeearth
3 days, 21 hours ago
Selected Answer: E
The parent company needs to allocate its budget to the franchises, which are separate legal entities. In Dynamics 365 Finance, budget allocation terms are used to define how budget amounts are distributed to specific dimensions, such as legal entities (franchises in this case). By creating budget allocation terms and setting the allocation method to "allocate to dimensions," you can specify the distribution of budget line items to each franchise based on their past year’s performance. This method allows for precise allocation to the financial dimensions associated with each franchise’s legal entity.
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Milliongiz
5 months, 1 week ago
I think correct answer is A Creating ledger allocation rules is essential for distributing budget amounts based on specific criteria, such as past performance of each franchise. These rules will enable the parent company to allocate the overall budget to different legal entities (the franchises) according to predefined logic. This approach ensures that the budget for each franchise is set accurately and systematically.
upvoted 1 times
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akhan17
7 months, 1 week ago
Correct answer seems to be "E"
upvoted 4 times
Warlock1
6 months, 1 week ago
I think its "E" too
upvoted 3 times
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