Exam MB-330 topic 4 question 40 discussion

Actual exam question from Microsoft's MB-330

Question #: 40
Topic #: 4

Note: This question is part of a series of questions that present the same scenario. Each question in the series contains a unique solution that might meet the stated goals. Some question sets might have more than one correct solution, while others might not have a correct solution.
After you answer a question in this section, you will NOT be able to return to it. As a result, these questions will not appear in the review screen.
A company has an agreement to pay royalties to a third party for use of their logo.
A royalty contract must be setup so that the third party paid monthly. The payment is based on invoiced sales.
You need to create a royalty contract and create monthly Accounts payable to the third party.
Solution: Use the automatically calculated royalty amounts to approve and then create a monthly claim to pay the vendor.
Does the solution meet the goal?

A. Yes
B. No

Show Suggested Answer

Suggested Answer: B 🗳️
Reference:
https://docs.microsoft.com/en-us/dynamics365/finance/accounts-payable/royalty-contract

by Gupta01 at March 5, 2021, 11:20 a.m.

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Anthony_D

Highly Voted 3 years, 11 months ago

No. Because the question says we need to create a royalty contract. The proposed solution assumes there is already something set up, which is not the case.

upvoted 5 times

Anthony_D

3 years, 10 months ago

I'm back with more info. There is an "Approval required" check box in the contract setup. As nothing is said in the question about approval requirements, we can assume it would be left unchecked. So the solution presented here is not relevant to the situation. Here is the correct answer: "Create a royalty contract. Select monthly for the cumulative sales. Add line item, products, and value to pay the vendor for use of the logo."

upvoted 5 times

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globeearth

Most Recent 5 months, 1 week ago

Selected Answer: A

Yes, the solution meets the goal of creating a royalty contract and generating monthly accounts payable to the third party based on invoiced sales. The process described—using automatically calculated royalty amounts, approving them, and creating a monthly claim

upvoted 1 times

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