MB-310 · Question #235
A company uses Microsoft Dynamics 365 Finance and Dynamics 365 Project Operations. The company must be able to estimate the costs of a project and create a fixed asset by using the project cost…
The correct answer is D. Investment. Investment projects are projects that do not produce immediate earnings. They are typically used for long-term internal projects in which the costs have to be capitalized. The following are also true of investment projects: - Only costs for items, hours, and expenses can be…
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Options
- ATime and material
- BCost
- CInternal
- DInvestment
- EFixed price
How the community answered
(47 responses)- A2% (1)
- B6% (3)
- C2% (1)
- D89% (42)
Explanation
Investment projects are projects that do not produce immediate earnings. They are typically used for long-term internal projects in which the costs have to be capitalized. The following are also true of investment projects: - Only costs for items, hours, and expenses can be recorded for an investment project. - Costs in an investment project are tracked and controlled by using the Project management and accounting Estimate feature. - Investment projects can be set up with an optional maximum capitalization limit. As an investment project progresses, you record its costs in WIP accounts, where the costs are held until the project is completed. When the project is eliminated, you transfer the WIP value to a fixed asset, a ledger account, or a new project. https://docs.microsoft.com/en-us/dynamicsax-2012/appuser-itpro/about-project-types
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