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Exam MB-700 topic 1 question 14 discussion

Actual exam question from Microsoft's MB-700
Question #: 14
Topic #: 1
[All MB-700 Questions]

A company is headquartered in Canada and has four regional offices in Japan, Great Britain, Germany, and Mexico.
An architect is documenting the following business requirements:
✑ Accounts payable parameters must be unique within an organization.
✑ Monthly financial results must be consolidated.
You need to design the organization to map to the requirements.
Which functionality should you use?

  • A. Legal entities
  • B. Line of business
  • C. Business units
  • D. Operating units
Show Suggested Answer Hide Answer
Suggested Answer: A 🗳️
by rw66 at Oct. 1, 2020, 1:25 p.m.

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Gendor
Highly Voted 3 years, 8 months ago
Definitely A
upvoted 17 times
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Arshadconsultant
Highly Voted 3 years, 11 months ago
Exactly, A should be the correct answer since having Separate parameters for each org is only possible by separate legal entities
upvoted 10 times
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mafawzi
Most Recent 5 months, 1 week ago
Selected Answer: A
I recommend A , but if the number of transaction is few and there is no need for separated financial statement it's ok for C
upvoted 1 times
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simonegili
11 months, 2 weeks ago
Selected Answer: A
Both the requirements are met only if using more legal entities
upvoted 1 times
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AdrienBnhm
1 year, 4 months ago
Selected Answer: A
The answer is A : Master data (vendors) should be unique within the Legal Entity and moreover the Consolidation is only required for Legal entities, not the other sub-sections.
upvoted 2 times
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bromark10
1 year, 4 months ago
Selected Answer: C
I read it as one organization with multiple regional offices. I.e. one set of parameters and hence one legal entity modeled with 4 business units ?
upvoted 1 times
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bromark10
1 year, 5 months ago
Selected Answer: A
Must be A with separate parameters..
upvoted 1 times
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IMePawan
1 year, 6 months ago
For sure its A. Refer the section "Module parameters" in the link: https://learn.microsoft.com/en-us/training/modules/plan-implement-legal-entities-finance-operations/6-legal-entities-vs-oper-units
upvoted 1 times
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Haidardba
1 year, 9 months ago
Definitely A is correct for me.
upvoted 1 times
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certiftvh
1 year, 10 months ago
Selected Answer: A
you also need to consider tax requirements for the different region.
upvoted 2 times
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JoolsW
2 years, 7 months ago
Instinctively I thought it was A, but when you read the question carefully, it talks about one business with regional offices in different countries, with one set of AP parameters across the organization. There is only one organization, the regional offices are not separate trading entities.
upvoted 3 times
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elcollino
2 years, 9 months ago
A, you also need to consider tax requirements for the different region.
upvoted 3 times
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ufuk
2 years, 9 months ago
A is correct for me.
upvoted 1 times
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Meursault207
3 years, 3 months ago
With three legal entities there would be three accounts payable parameters form; this isn't "unique within an organization". So, for me, C. Business units is correct
upvoted 6 times
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AgileMind
3 years, 3 months ago
Both requirements can be achieved together only with: A. Legal entities answer.
upvoted 1 times
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ammarkhan
3 years, 4 months ago
A is correct
upvoted 1 times
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SS_009
3 years, 4 months ago
It's Answer A, we can't create multiple business unit's AP parameters with in one legal entity.
upvoted 1 times
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C (25%)
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