Exam MB-330 topic 1 question 17 discussion

Actual exam question from Microsoft's MB-330

Question #: 17
Topic #: 1

A corporation has two subsidiary businesses, set up as separate legal entities. The one business will be purchasing a new item from the other, and has negotiated for a discount for the first six months of the deal.
You are required to make sure that system will apply the discount for the time stipulated.
Which of the following is the type of agreement you should configure?

A. Sale Agreement.
B. Service Agreement.
C. Purchase Agreement.
D. Trade Agreement.

Show Suggested Answer

Suggested Answer: D 🗳️

by DDV at Feb. 9, 2022, 8:58 a.m.

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Deetss

Highly Voted 2 years ago

Selected Answer: D

No commitments of quantity, value, or category are stated which are requirements of a purchase or sales agreement. Thus, the answer D Trade Agreement is correct.

upvoted 5 times

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6caf793

Most Recent 1 year, 1 month ago

The described relates to a trade agreement and not a sales agreement because: "A sales agreement is a contract that commits the customer to buy products in a specific quantity or for a specific amount over time, in exchange for special prices, special discounts, and other special terms, such as payment and delivery terms. The prices and discounts of the sales agreement override the prices and discounts that are stated in any trade agreements that exist" https://learn.microsoft.com/en-us/dynamics365/supply-chain/sales-marketing/sales-agreements

upvoted 1 times

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juan1603

1 year, 10 months ago

Why not a Sales agreement??

upvoted 1 times

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p8tz

2 years, 1 month ago

It has a time limit - shouldn't it be a sales or purchase agreement (depending on which company it is set up in)? Trade agreements are not limited by a validity period and sales/purchase agreements override any trade agreement in place.

upvoted 1 times