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MB-335 · Question #251

MB-335 Question #251: Real Exam Question with Answer & Explanation

The correct answer is C. Create a vendor warehouse for the subcontracted product.. To track semi-finished items at a subcontractor in Dynamics 365 Supply Chain Management, you must model the subcontracted work with a linked purchase order and a vendor-managed warehouse. Record the physical material transfer to the vendor using the Picking list journal for produ

Question

A manufacturing company is implementing Dynamics 365 Supply Chain Management. The company has three operations in the production of a finished good. The first operation assembles the product, the second operation sends the product to a subcontractor to do a custom welding job on the product, and the final operation is painting the finished good. The controller requires that the semifinished item is physically and financially recorded in the general ledger while at the subcontractor location. You need to configure the requirements. What should you configure?

Options

  • APost an inventory adjustment journal.
  • BSet the batch disposition code.
  • CCreate a vendor warehouse for the subcontracted product.
  • DSet inventory status to Subcontractor.

Explanation

To track semi-finished items at a subcontractor in Dynamics 365 Supply Chain Management, you must model the subcontracted work with a linked purchase order and a vendor-managed warehouse. Record the physical material transfer to the vendor using the Picking list journal for production orders and the material receipt via the linked purchase order. The semi-finished item is then financially recorded at the subcontractor's location when the product receipt is posted for the purchase order, which moves inventory to the vendor-managed warehouse in D365. 1. Set up a Vendor-Managed Warehouse Create a new warehouse in D365 to represent the subcontractor's site. Assign the subcontractor's vendor account to this new warehouse. 2. Configure Production Orders 3. Document Material Transfer (Physical Recording) 4. Record Semi-Finished Item at Subcontractor (Financial Recording) 5. Integrate with General Ledger https://learn.microsoft.com/en-us/dynamics365/supply-chain/production-control/manage- subcontract-work-production

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