Configure a Subcontracted Transfer Activity Freighted by Shipper in Dynamics 365 SCM

MB-335 By islever Editorial Last updated Sep 27, 2026

Implement subcontracting

Short answer

E Set Freighted by to Shipper and ensure purchase agreements include the vendor ID of the warehouse.

Question

A customer produces light projection toys for holiday decorations throughout the year. The production process creates the projection toy at the following work cells: stands, main assembly, electric, visuals, and packaging. Vendors must create templates for each toy they produce each season. They must manage the transfer of templates to the warehouse. Each transfer for each vendor must use the same purchase agreement. You need to configure the subcontracted transfer activity. What should you do?

Set the transfer activity Freighted by value to Shipper. Ensure that purchase agreements include the vendor ID of the vendor.
Set the transfer activity Freighted by value to Carrier. Ensure that purchase agreements include the vendor ID of the warehouse.
Set the transfer activity Freighted by value to Recipient. Ensure that purchase agreements include the vendor ID of the warehouse.
Set the transfer activity Freighted by value to Recipient. Ensure that purchase agreements inside the vendor ID of the vendor.
Set the transfer activity Freighted by value to Shipper. Ensure that purchase agreements include the vendor ID of the warehouse. Correct Answer

Key Takeaways

For a subcontracted transfer activity, the Freighted by = Shipper setting makes the activity subcontracted when the transfer is initiated from the warehouse; the purchase agreement must reference the warehouse vendor.

To manage subcontracted transfer of templates to the warehouse where each transfer uses the same purchase agreement, set the transfer activity Freighted by value to Shipper and ensure purchase agreements include the vendor ID of the warehouse.

Common mistake: Do not choose Carrier or Recipient, and do not point the purchase agreement to the vendor (the toy producer) — the transfer is to the warehouse, so the warehouse vendor ID must be on the purchase agreement.

Expert Analysis

Why the Answer Is Correct

The transfer is to the warehouse, so the subcontracted transfer activity must be Freighted by = Shipper, and the purchase agreement that prices the subcontracted transfer must include the vendor ID of the warehouse (the party receiving/shipping the templates).

Why the Other Options Are Wrong

Option A uses the vendor ID of the vendor (the toy producer) instead of the warehouse.
Options B and C use Freighted by = Carrier or Recipient, which do not match a subcontracted transfer to the warehouse.
Option D also targets the wrong vendor ID and uses Recipient.

Community Comment Notes

There are no votes on this item; multiple discussants converge on E (Shipper with the warehouse vendor ID) based on the 'transfer to the warehouse' wording.

Official Reference

https://learn.microsoft.com/en-us/dynamics365/supply-chain/production-control/activity-based-subcontracting

This link opens the official vendor documentation in a new tab.

Discussion 3 contributions

Compiled from public community threads and reader submissions, lightly edited for clarity. Handles and vote tallies are shown as recorded, and comments reflect the views of individual contributors.

From public community threads 3

Tonheidie 👍 3

Correct; Subcontracted transfer activities. A transfer activity is configured as a subcontracted activity, depending on the Freighted by setting of the transfer activity. The following options are available: • Shipper – The activity is subcontracted if the transfer from the warehouse is managed by a vendor (as defined by a property of the warehouse). All selected purchase agreements for services must have the same vendor ID as the warehouse. • Recipient – The activity is subcontracted if the transfer to the warehouse is managed by a vendor (as defined by a property of the warehouse). All selected purchase agreements for services must have the same vendor ID as the warehouse. • Carrier – The activity is subcontracted to any vendor that provides the service. To be valid, a carrier must be created for warehouse management and must have an assigned vendor account. https://docs.microsoft.com/en-us/dynamics365/unified-operations/supply-chain/production-control/activity-basedsubcontracting#subcontracted-transfer-activities
kiio104 👍 1

Should be E : Shipper ? as it said " They must manage the transfer of templates to the warehouse."
Angieline 👍 1

I would choose E. The key word is "To the warehouse" which means it is referring to Shipper.

Reader comments & corrections

No reader corrections yet — spotted an error or have a note? Share it below.

← Back to MB-335 Study Guide