Manage the Chart of Accounts MB-800 Practice Questions (Page 2)

Questions 6–10

1. 6application · medium

   A retail company's standard Balance Sheet report shows 'Total Current Assets' as a single line. Management wants to see 'Cash', 'Accounts Receivable', and 'Inventory' as separate lines under that total. What should you configure?

   • AUse the 'Account Schedule' page to create a custom report that lists each asset account individually.
   • BCreate new G/L accounts for Cash, Accounts Receivable, and Inventory, and delete the existing asset accounts.
   • CCreate subcategories under the 'Current Assets' account category and assign the relevant G/L accounts to each subcategory.
   • DChange the 'Account Type' of the existing asset accounts to 'Total' so they appear as subtotals.
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2. 7expert · hard

   A company wants to allocate its rent expense to three departments based on headcount. The allocation should be performed automatically when the rent expense is posted. However, the rent expense account is also used for other purposes, and the controller wants to ensure that only the rent portion is allocated, not other postings to the same account. What should you do?

   • ASet up the allocation on the existing rent expense account and use a dimension filter to exclude other postings.
   • BCreate a separate G/L account for rent expense and use it only for rent postings, then set up the allocation on that account.
   • CPost the rent expense directly to the department accounts and skip the allocation.
   • DUse a recurring general journal to allocate the rent amount each month.
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4. 8application · medium

   A manufacturing company wants its income statement to show revenue and cost of goods sold as separate top-level sections, with each broken down by product line. The finance team currently uses the default account categories. What should you do first?

   • AReclassify all revenue and cost accounts into a single category named 'Operations'.
   • BCreate subcategories under the existing Revenue category and assign product-line accounts to those subcategories.
   • CCreate new account categories for Revenue and Cost of Goods Sold, then assign the relevant G/L accounts to them.
   • DChange the income statement layout to group by product line instead of by account category.
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5. 9expert · hard

   A company has a G/L allocation that distributes rent expense to three departments based on headcount. The allocation is set to post automatically. Recently, the allocation stopped posting correctly. You suspect the issue is related to the allocation setup. What should you check first?

   • ACheck if the rent expense account has been blocked from posting.
   • BVerify that the allocation source and target accounts are still valid and that the allocation base is correctly defined.
   • CConfirm that the department accounts have not been deleted.
   • DReview the general ledger setup for the allocation posting date.
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6. 10foundation · easy

   Which field on a general ledger account card in Dynamics 365 Business Central determines the account type that controls how the account is used in postings?

   • ADirect Posting
   • BAccount Category
   • CIncome Statement Balance
   • DAccount Type
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