MB-310 — Microsoft Dynamics 365 Finance Functional Consultant
Microsoft

Microsoft Dynamics 365 Finance Functional Consultant (MB-310) Practice Questions

★★★★★★ 4.6 115 verified reviews
100 questions
June 17, 2026 updated
✓ Online quiz simulator

Domain coverage

  • Implement financial management (40–45%)
  • Implement accounts receivable, credit, collections, and subscription billing (15–20%)
  • Implement and manage accounts payable and expenses (10–15%)
  • Manage budgeting (10–15%)
  • Manage fixed assets (10–15%)

Sample Questions (10 of 100 shown)

Q1 Implement Financial Management (40-45%)
A client wants general journals to be used only to post ledger-type transactions. You need to set up journal configuration to achieve the requirement. Solution: Set up posting restrictions on the general journal. Does the solution meet the goal?
  1. Yes
  2. No
✓ Correct Answer: B
Posting restrictions on a general journal do not limit the account types that can be used. To restrict journals to ledger-type transactions only, you should configure journal control on the general journal name to limit the account type to ledger.
Q2 Implement Financial Management (40-45%)
You need to configure the financial reporting fiscal calendar for a customer. The customer uses a 4-5-4 retail calendar. What should you do?
  1. Use the closing period adjustments form.
  2. Configure the ledger calendar to include a 13th closing period.
  3. Use the ledger calendar to set up the 4-5-4 calendar.
  4. Configure the fiscal calendar to include a 13th closing period.
✓ Correct Answer: C
The ledger calendar in Dynamics 365 Finance supports setting up custom fiscal calendars including 4-5-4 retail calendars. You configure the fiscal calendar periods using the ledger calendar setup, not through closing period adjustments.
Q3 Implement Financial Management (40-45%)
A client has one legal entity, two departments, and two divisions set up as financial dimensions. Only expense accounts require dimensions posted with transactions. Users must not have the option to select dimensions for balance sheet accounts. You need to configure the ledger to show applicable financial dimensions based on the main account selected. Solution: Configure one account structure for expense accounts and include applicable dimensions. Does the solution meet the goal?
  1. Yes
  2. No
✓ Correct Answer: B
One account structure alone cannot meet both requirements. You need two account structures: one for expense accounts (with required dimensions) and one for balance sheet accounts (without dimensions). Account structures, not a single structure with dimensions, control when dimensions are required.
Q4 Implement Financial Management (40-45%)
A global distribution company operating in multiple legal entities needs centralized credit management with: 1. Centralized credit policy adaptable for regional risk variations 2. Automated risk scoring based on payment history and external data 3. Automatic credit holds for customers exceeding limits or overdue >60 days 4. Workflow for credit control team to review temporary limit increases Which combination of features meets all these requirements?
  1. Configure customer posting profiles with different settlement accounts per region and use periodic journals to manually place customers on hold.
  2. Set up a parent legal entity for credit management, use shared customer master data, and apply a single global credit limit to all customers.
  3. Enable credit management, configure risk scoring groups with different criteria per region, create automatic credit limit rules, set up blocking rules for overdue invoices, and design a credit limit adjustment workflow.
  4. Create a Power App for credit limit requests, use Power Automate to update credit limits, and create separate collection letter sequences for each region.
✓ Correct Answer: C
Dynamics 365 Credit management provides risk scoring groups (adaptable per region), automatic credit limit rules, blocking rules for overdue invoices, and workflows for limit adjustments. This configuration meets all four requirements without requiring external tools or manual processes.
Q5 Implement Financial Management (40-45%)
A company is transitioning inventory valuation from FIFO to Standard Cost for a group of finished goods. You need to activate the new costing version. What are three essential steps in the correct sequence?
  1. Calculate the item prices within the new standard cost costing version.
  2. Run an inventory closing for the period prior to activation.
  3. Activate the calculated item prices in the costing version.
  4. Delete the old FIFO costing versions.
  5. Post an inventory revaluation journal to adjust on-hand inventory to the new standard cost.
  6. Change the item model group for all affected items immediately after activation.
✓ Correct Answer: B, A, C
The correct sequence is: (B) Run inventory closing for the prior period first, (A) Calculate item prices in the new costing version, then (C) Activate the calculated prices. After activation, post an inventory revaluation journal (E) to adjust on-hand inventory value. The old costing versions should not be deleted until the transition is complete.
Q6 Implement Financial Management (40-45%)
A SaaS company sells a three-year enterprise license for $36,000 paid upfront. Revenue must be recognized evenly over 36 months. Which configuration enables automatic monthly recognition of $1,000?
  1. Create a recurring free text invoice scheduled to post $1,000 each month for 36 months.
  2. Configure a billing schedule attached to a sales order and associate it with a revenue deferral template set to recognize over 36 periods.
  3. Set up a periodic journal to automatically create and post $1,000 revenue entry each month.
  4. Use a sales agreement with a milestone billing rule.
✓ Correct Answer: B
Revenue deferral in Dynamics 365 Finance uses deferred revenue schedules on sales orders. A billing schedule records the upfront invoice, and the associated revenue deferral template automatically recognizes $1,000 per period over the 36-month contract term.
Q7 Implement Financial Management (40-45%)
A holding company is performing its first financial consolidation. Subsidiaries use different charts of accounts. After running 'Consolidation online', intercompany balances have not been eliminated. What is the most likely cause?
  1. Currency translation rates were not defined.
  2. Elimination rules in the consolidation company were not configured to use the 'Intercompany' dimension.
  3. Main accounts for intercompany payables/receivables from subsidiaries were not mapped to consolidation company accounts.
  4. The 'Recalculate balances' option was not selected.
✓ Correct Answer: C
When subsidiaries use different charts of accounts, the main accounts for intercompany transactions must be mapped from subsidiary accounts to the corresponding accounts in the consolidation company. Without proper account mapping, the elimination engine cannot identify which balances to eliminate.
Q8 Implement Financial Management (40-45%)
A company's chart of accounts uses a single account structure. The 'Department' dimension must be mandatory for expense accounts (600000-699999) but optional for all other accounts. What is the most efficient configuration?
  1. Create two separate account structures.
  2. In the account structure, make Department optional and configure an advanced rule where if MainAccount is between 600000-699999, then add Department and make it mandatory.
  3. Use journal control restrictions.
  4. Configure a financial dimension default template on expense main accounts.
✓ Correct Answer: B
Advanced rules in account structures allow conditional dimension requirements based on main account ranges. This is more efficient than creating multiple account structures. The rule activates the Department dimension and makes it mandatory only when the main account falls within the specified range.
Q9 Implement Financial Management (40-45%)
You are implementing Dynamics 365 Finance for a company that commonly sells goods across international borders. What should you use to secure payment for international trade?
  1. Purchase agreement
  2. Bank statements
  3. Letters of credit
  4. Promissory note
✓ Correct Answer: C
Letters of credit are financial instruments used in international trade to guarantee payment. Dynamics 365 Finance supports letters of credit as a payment method for international transactions, providing security for both buyers and sellers.
Q10 Implement Financial Management (40-45%)
A controller notices incorrect postings entered via journal. The system must enforce: Expense accounts (6000-6998) require department, division, and project. Revenue accounts (4000-4999) require department and division. Liability accounts (2000-2999) should not have dimensions. Expense account 6999 requires department, division, project, and customer. Solution: Configure two account structures and use asterisks for dimension columns. Does the solution meet the goal?
  1. Yes
  2. No
✓ Correct Answer: B
Using asterisks alone cannot differentiate between optional and required dimensions across different account ranges. Advanced rules are needed to make dimensions conditionally required based on the specific main account ranges.

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Exam overview

The MB-310 exam serves as the sole assessment for the Microsoft Certified: Dynamics 365 Finance Functional Consultant Associate certification. Administered through Pearson VUE, the exam gives you 100 minutes of active question time within a 120-minute seat window, with a passing threshold of 700 (70%). Candidates have live access to Microsoft Learn during the test, making documentation navigation a tested skill alongside functional configuration.

A minimum of one to two years of hands-on Dynamics 365 Finance implementation experience is recommended before attempting MB-310. The exam assumes fluency with GAAP/IFRS standards and core financial operations, plus familiarity with Course MB-310T00-A content. Unlike its predecessor era, MB-310 now stands alone—there is no MB-300 prerequisite—so candidates can focus exclusively on financial modules.

The blueprint weights five domains: financial management (40–45%), accounts receivable with credit and subscription billing (15–20%), accounts payable and expenses (10–15%), budgeting (10–15%), and fixed assets (10–15%). Within these, the exam tests detailed mechanics: sales tax posting matrix configuration, inventory closing routines, deferred revenue scheduling, budget control dimension parameters, and fixed asset book depreciation. Case-study questions lock tabs once exited, so time management across scenario sections is critical.

Our MB-310 practice materials mirror the five domain weightings and question formats of the real exam, from sales tax authority setup and currency revaluation logic to fixed asset acquisition integration and budget control rule configuration. Each online practice question includes a detailed answer explanation that walks through the functional consultant's decision tree, while the downloadable PDF packages the same question bank for offline review during commutes or in environments without stable internet.

Official Exam Domains & Weighting

To successfully pass the MB-310 exam, candidates must master the following core domains:
  • Domain 1: Implement financial management (40–45%)
Covers ledger and currency architectures including fiscal calendar design, legal entity initialization, and automated currency revaluations. Also tests tax configuration engines (sales tax authorities, withholding tax profiles, periodic settlements), cash and bank management with electronic payment file mapping, and inventory valuation methodologies (FIFO, LIFO, Weighted Average) with month-end closing routines.
  • Domain 2: Implement accounts receivable, credit, collections, and subscription billing (15–20%)
Focuses on customer master provisioning, free text invoice management, and credit limit enforcement with aged balance tracking. The subscription billing framework is a major pitfall area—candidates must master recurring billing schedules, multi-element revenue arrangements, and deferred revenue parameter configuration for automated scheduling ledger entries.
  • Domain 3: Implement and manage accounts payable and expenses (10–15%)
Tests vendor onboarding profile mapping, three-way matching validation limits, and vendor payment journal execution for accounts payable logistics. Expense management coverage includes legal entity expense category definition, per diem calculations, mileage allowances, corporate credit card routing, and workflow rules for expense approvals.
  • Domain 4: Manage budgeting (10–15%)
Covers budget code setup, budget model planning, allocation term generation, and transaction transfer rule configuration for basic budgeting operations. The budget control architecture section tests dimension parameters for fund availability, budget control rule configuration, over-budget authorization tolerances, and structural activation/deactivation cycle management.
  • Domain 5: Manage fixed assets (10–15%)
Focuses on fixed asset grouping, posting parameter configuration, book establishment, and depreciation profile setup. Transaction lifecycle execution includes automated fixed asset acquisition via procurement pipeline integration, periodic depreciation recording, asset revaluation factoring, and asset disposal/liquidation with project-to-fixed-asset capitalization.

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Frequently Asked Questions

Candidates consistently encounter difficulties with the detailed logic required to set up sales tax posting matrices and inventory cost management (such as resolving calculation issues during month-end inventory closing routines). Another major pitfall area is subscription billing and deferred revenue calculations, where candidates must know exactly how system parameters dictate automated scheduling ledger entries across complex multi-element billing arrangements. Our practice questions target these exact pain points with scenario-based items.

In addition to our practice materials, candidates should use the official MB-310 Practice Assessment on Microsoft Learn. This tool provides unlimited, no-cost practice runs utilizing questions that closely mirror the design, wording, and technical difficulty of the actual proctored exam. For hands-on simulations, the virtual lab exercises included within the official Microsoft course repositories provide the necessary environment for practice. Our answer explanations reference the same Microsoft Learn documentation paths.

The Microsoft Certified: Dynamics 365 Finance Functional Consultant Associate certification is valid for exactly 12 months from the date achieved. To extend your credential's validity for an additional year, you must pass a free, online, unproctored renewal assessment on Microsoft Learn during the 6-month window prior to its expiration date. Our practice materials are updated quarterly to reflect the latest exam blueprint changes.

If you do not pass on your first attempt, you must observe a 24-hour waiting period before booking a second try. For a third, fourth, or fifth attempt, a strict 14-day cooling-off window is enforced between registrations. Candidates are legally constrained to a maximum of five exam attempts per rolling 12-month period. Our timed mock exams help you identify weak domains before using an official attempt.

The mock exam replicates the exact question formats you'll face on test day: case studies with locked tabs, multiple-choice and multiple-response items, drag-and-drop orchestration configurations, and hot area setup questions. It also simulates the 100-minute active question timer and includes the same domain weightings (financial management at 40–45%, followed by AR/credit/subscription billing at 15–20%). Practice runs include detailed answer explanations that teach the functional consultant's decision tree for each scenario.

Yes, the full question bank is available as a downloadable PDF that packages every practice question with its detailed answer explanation. The PDF format is optimized for offline review during commutes, on flights, or in environments without stable internet access. It includes the same five-domain breakdown as the online practice test, so you can focus your offline study on specific weak areas like fixed asset depreciation or budget control architecture.

Our practice bank includes 8–10 scenario-based questions specifically targeting recurring billing schedules, multi-element revenue arrangements, and deferred revenue parameter configuration. These questions walk through complex star and multi-element billing arrangements where you must calculate how system parameters dictate automated scheduling ledger entries. Each answer explanation includes a step-by-step breakdown of the revenue recognition logic, referencing the exact Microsoft Learn documentation for verification.