Configure and Manage Subscription Billing MB-310 Practice Questions (Page 6)

Questions 26–30

1. 26expert · hard

   A company uses revenue deferrals for subscription sales. A customer cancels a subscription mid-term, and the unearned revenue must be recognized immediately upon cancellation. The deferral schedule has remaining unrecognized amounts. What should you do?

   • ADelete the deferral schedule and create a credit note for the unearned amount.
   • BChange the deferral default on the item to 'None' and regenerate the schedule.
   • CPost the remaining recognition entries on the deferral schedule immediately.
   • DEdit the deferral schedule to extend the recognition period.
   Reveal Solution Discussion Select an answer first
2. 27application · medium

   A customer's billing schedule has a hold placed on it due to a payment dispute. The dispute is resolved, and you need to resume billing for the remaining periods without losing the original schedule's end date. What should you do?

   • AChange the billing schedule end date to extend the contract.
   • BRemove the hold from the billing schedule and regenerate the remaining billing lines.
   • CCreate a new billing schedule for the remaining periods.
   • DDelete the hold and manually create invoices for each remaining period.
   Reveal Solution Discussion Select an answer first
4. 28application · medium

   Contoso, a software vendor, sells annual subscriptions with monthly billing. They set up a billing schedule for each customer. After generating the first invoice, a customer requests a mid-cycle price change for the remaining months. The billing schedule is already posted. What should the billing administrator do to ensure the next invoice reflects the new price?

   • AUpdate the price on the billing schedule line and then run the 'Generate invoice' process for the next period.
   • BEdit the price on the billing schedule line and regenerate the schedule.
   • CPost a credit note for the difference and manually adjust the next invoice.
   • DCreate a new billing schedule for the customer with the updated price and cancel the old one.
   Reveal Solution Discussion Select an answer first
5. 29application · medium

   A company uses billing schedules to invoice customers for monthly maintenance services. The billing schedule group is set to generate invoices on the first day of each month. Due to a holiday, the finance team wants to generate the invoices for the current month on the last business day of the previous month. What should you do?

   • AManually run the billing schedule generation for the affected schedule on the desired date.
   • BCreate a new billing schedule for the customer with a different start date.
   • CPost the invoices manually using free text invoices.
   • DChange the billing schedule group's billing frequency to 'Last day of month'.
   Reveal Solution Discussion Select an answer first
6. 30foundation · easy

   What happens when a recognition schedule is processed?

   • AThe original invoice is deleted
   • BThe customer is automatically billed again
   • CJournal entries are created to move amounts from the deferral account to the revenue account
   • DThe deferral schedule is extended
   Reveal Solution Discussion Select an answer first