MB-800 Microsoft Dynamics 365 Business Central Functional Consultant Free Practice Exam Questions (2026 Updated)

When configuring Invoice Discounts for a vendor in Business Central, you must enter:

Currency Code (A): Discounts can be vendor-specific and currency-specific.

Minimum Amount (B): The invoice must exceed a threshold before the discount applies.

Discount % (C): The actual percentage discount offered by the vendor.

Not required:

Starting date (D): Applies to payment terms/discounts, not invoice discounts.

Minimum quantity (E): Applies to line/item-level discounts, not invoice header discounts.

The requirement is to import vendor opening balances from Excel, where many vendors use foreign currencies. Since balances must be entered via General Journal Lines (table 81), the correct process with configuration packages is:

Create configuration package for table 81 Gen. Journal Line

This table holds general journal transactions and is required to import opening balances.

Select the fields with correct processing order including Currency Code

Since vendors use foreign currencies, the Currency Code field must be included along with Account Type, Account No., Posting Date, Document No., Description, Amount, and Amount (LCY).

Export to Excel and populate the data

Export the template from the configuration package, then copy/paste the vendor balances into Excel.

Import and validate the Excel file, then apply package

Load the populated Excel back into the configuration package, validate the data, and then apply it to the general journal for posting.

Incorrect alternatives:

Options that omit Currency Code would not support foreign currency vendors.

"Import from Excel and then post to the general journal" skips the validation step and configuration package flow.

Microsoft Learn References

Use Configuration Packages to Import Data

General Journal Lines (Table 81)

In Dynamics 365 Business Central, deletion of general ledger (G/L) accounts is restricted if the Check G/L Account Usage field is enabled in General Ledger Setup. This setting ensures data integrity by preventing the removal of accounts that are actively referenced in posting groups, posting setups, or transactions.

Requirements for deletion:

The G/L account must not be used in posting groups (such as customer, vendor, bank, or inventory posting groups).

The G/L account must not be used in posting setup tables (like VAT posting setup or general posting setup).

The account must not have existing ledger entries.

Why not the others:

B. The fiscal year needs to be closed: Not a requirement for deleting an account.

C. The G/L account must be Balance Sheet type: Deletions are not restricted by account type.

D. Allowing deletion is not a field option on the account card.

Comprehensive Detailed Explanation

In Microsoft Dynamics 365 Business Central, when a user mistakenly applies multiple payments incorrectly, you need to correct the customer payment application using the Unapply Entries functionality.

Step 1: Navigate to Unapply Entries from the relevant customer ledger entry.This is the starting point. You open the customer ledger entries for the specific transaction and select the entry where the wrong payment application was done.

Step 2: Unapply the first payment.Since the requirement is to remove the first cash receipt, you must unapply that specific payment. Business Central will then restore both the invoice and payment as open.

Step 3: Apply the second payment to the customer ledger entry.Because the second payment was still partly applied, you reapply it to ensure the invoice is still matched with the correct payment. This keeps your receivables accurate.

Step 4: Post a reversing cash receipt and select the customer and relevant payment entry.After unapplying and reapplying correctly, you may need to post a reversing cash receipt to completely clear the incorrect transaction from the customer account if an additional entry was created by mistake. This ensures that the general ledger and customer ledger entries remain aligned.

Thus, this sequence ensures the mistake is corrected without leaving residual incorrect entries in the ledger.

Microsoft Documentation References

Unapply Customer Ledger Entries in Business Central

Correct or Cancel Customer Payments

Apply and Unapply Customer Payments

In Dynamics 365 Business Central, the Payment Registration feature is used to quickly apply customer payments to outstanding invoices. In this scenario, one lump sum payment is received that covers two invoices. Because Auto Fill Date Received is enabled, you don’t have to manually enter the Date Received.

Step-by-step:

Open Payment Registration

Navigate to the Payment Registration page to start applying the payment.

In the Amount Received field, enter amounts

Enter the total amount the customer paid. Since it's one payment covering two invoices, enter the combined amount.

Select Payment Made for the first invoice

Apply the payment to the first outstanding invoice.

Select Payment Made for the second invoice

Apply the payment to the second outstanding invoice.

Select Post As Lump Payment

This option ensures the payment posts as one lump transaction, not two separate ones, since the customer made a single combined payment.

Select Post Payments

Finally, post the payment to update the customer ledger and bank account.

When creating companies in Dynamics 365 Business Central (SaaS) using the assisted setup guide, there are three main template types:

Evaluation template

Creates a company with both setup data and sample data.

Intended for demo or trial purposes, where users can explore the system with realistic data already populated.

Matches the requirement: Create a company that has setup data and sample data.

Create New template

Creates a completely blank company with no setup data and no sample data.

Intended for advanced users or consultants who want to configure everything manually.

Matches the requirement: Create a company that does not have setup data.

Production template

Creates a company with setup data only (basic configurations such as posting groups, VAT, chart of accounts, etc.), but without sample data.

Intended for live production environments where the customer will import or enter their own master and transactional data.

Matches the requirement: Create a blank company that has setup data but does not have sample data.

Business Central Functional Consultant at end of each question below

In Business Central, posting periods and deferral posting control are managed through the User Setup page.

The User Setup table/page allows you to assign user-specific posting restrictions by specifying Allow Posting From and Allow Posting To dates.

These restrictions apply to all posting transactions for that user, including deferrals. This ensures you can control in which periods each user is allowed to post.

This setup overrides the company-wide settings in General Ledger Setup (where you also have global Allow Posting From/To dates).

Why the other options are incorrect:

A. User Tasks – Provides task reminders or workflow assignments for users, not posting date control.

B. My Settings – Lets a user configure personal settings like Role Center, company, region, or work date, but it does not control posting periods.

D. Profiles (Roles) – Define user interface profiles (role-tailored experience), not transactional posting periods.

Therefore, the correct configuration page is User Setup.

Microsoft Learn References

Define Posting Periods for Users (User Setup with Allow Posting From/To):https://learn.microsoft.com/en-us/dynamics365/business-central/finance-how-specify-posting-periods

User Setup (fields and functionality including posting restrictions):https://learn.microsoft.com/en-us/dynamics365/business-central/ui-how-users-permissions

Deferrals in Business Central (and how they respect posting periods):https://learn.microsoft.com/en-us/dynamics365/business-central/finance-how-defer-revenue-expenses

This ensures users can only post deferrals in the periods defined in their User Setup.

Comprehensive Detailed Explanation

In Dynamics 365 Business Central, pricing and discounts are managed with different setup types:

Sales Prices

Used to define special prices for specific customers, customer groups, items, or date ranges.

Correct setup when "customers receive special prices for a certain amount of time."

Sales Line Discounts

Used to configure line-level discounts based on item, item group, or quantity.

Correct when "the company offers different discounts for different item types."

Customer Invoice Discounts

Applied at the invoice (header) level when the total sales amount on an order/invoice exceeds a defined threshold.

Correct when "loyal customers are rewarded with additional discounts when a certain sales amount on an order is reached."

Unit Price

Not a separate setup type in this context; it's the actual price per item on a line. For structured price/discount management, Sales Prices and Discounts are used.

Microsoft Learn References:

Set Up Sales Prices

Set Up Sales Line Discounts

Set Up Customer Invoice Discounts

Comprehensive Detailed Explanation

In Dynamics 365 Business Central, there are three approaches to tailoring the UI:

Personalize

End users can personalize their workspace by hiding/moving fields, changing the layout, etc.

Personalization applies only at the user level.

Design

Developers or admins can use the in-client Design mode to create changes that apply to all users in the environment.

These changes can also be packaged into extensions for reuse.

Customize

Customization applies to a specific profile or Role Center.

This is useful if you want changes only to apply when users are in a certain Role Center (e.g., Accountant vs. Sales Manager).

Microsoft Learn References

Personalize Your Workspace

Customize Pages for Profiles

Design Pages in Business Central

You don’t assign a purchase account directly on the G/L account.

Instead, the system uses the combination of the General Business Posting Group (vendor side) and General Product Posting Group (item/service side).

In the General Posting Setup table, this combination points to the appropriate Purchase Account in the chart of accounts.

Thus, the correct answer is C.

The requirement is to resolve the order entry issue:

“Customers often reorder the same items with similar quantities. The system must be configured to ask the user if recurring lines should be added to sales orders.”

Business Central has Standard (Recurring) Sales Lines functionality to address this.

Configure standard sales lines → Add items and quantities

Standard sales lines define templates of frequently ordered items and their quantities.

When configuring these, you specify which items and quantities belong to the recurring order.

This resolves the need to avoid retyping common order combinations.

Add recurring sales lines to customers → Set insert on orders to Always Ask

On the Customer Card, you assign the standard sales lines and configure how they should be inserted when creating sales orders.

The setting Always Ask prompts the user each time an order is created for that customer, allowing them to choose whether to insert the recurring sales lines.

This satisfies the requirement to “ask the user if recurring lines should be added.”

Why not other options?

Add valid from and to dates – Useful for time-limited campaigns, but not mentioned in the requirement.

Set insert on quotes to Automatic – Applies to sales quotes, not orders. The requirement specifically concerns sales orders.

Microsoft Learn references

Set Up Standard Sales and Purchase Lines

Assign Standard Sales Lines to Customers

Based on the provided image, the correct values to select for the customer payment terms are the ones already highlighted.

Due Date Calculation for retail customer payment term:

Select the value 10.

Discount Date Calculation for wholesale customer payment term:

Select the value 10D.

Due Date Calculation for wholesale customer payment term:

Select the value 30D.

Due Date Calculation for wholesale customer payment term:

Select the value 15D.

The case study specifies that:

Salespeople manage opportunities/quotes and release orders to the warehouse.

Warehouse staff fulfill orders and complete shipments.

Office/accounting staff are responsible for invoicing (separation of duties).

Therefore, the correct sequence for processing sales orders is:

Add External Document No. to Sales Order

An office employee enters this reference (often the customer’s PO number) before processing.

This step ensures traceability for auditors and aligns with required documentation.

Warehouse employee performs Post and Ship

The warehouse is responsible for picking, packing, and shipping items.

They must post the shipment in Business Central, creating a posted shipment record.

The warehouse does not invoice, since invoicing is the responsibility of the office.

Office employee performs Post and Invoice only

After confirmation that the order shipped, the office staff posts the invoice.

This matches the new division of duties and provides the financial document to the customer.

Why not the other options?

Warehouse performs Post, Ship, and Invoice: Incorrect because invoicing is not the warehouse’s responsibility.

Warehouse performs Post and Invoice only: Wrong, warehouse does not invoice.

Office employee performs Post, Ship, and Invoice: Wrong, because shipping is handled by warehouse.

Warehouse employee changes Posting Date: Not a standard requirement for fulfilling orders in this case.

Microsoft Learn References

Process Sales Orders

Post Shipments and Invoices Separately

The scenario mentions that the company needs to properly record received items before invoices arrive.

In Business Central, enabling Expected Cost Posting ensures that receipts (goods received but not invoiced) are reflected in both inventory and the general ledger.

This avoids the need for a manual accrual process (one of the issues in the case study) and satisfies the requirement to record accounting impact for items received but not yet invoiced.

Other options:

A. Standard Costing is unrelated (they need FIFO/average etc. for produce).

B. Automatic Cost Posting just posts automatically but doesn’t address received-not-invoiced.

D. Automatic Cost Adjustment = Always updates inventory values for costing, not expected costs.

The case study states:

The company often receives a higher quantity of produce items than ordered because vendors allow for spoilage/damage during transit.

The company wants to allow over-receipt only for produce but not for non-produce items.

In Dynamics 365 Business Central, this requirement is handled by Over-Receipt Codes:

You define a code with a tolerance percentage (e.g., 5% or 10%).

The code can be assigned to specific items (e.g., produce) or vendors.

This allows receiving slightly more than ordered, while blocking over-receipt for other items.

Why not the other options?

B. Payment Tolerance % → relates to differences in payment amounts (e.g., customer underpaying by a few cents), not receiving inventory.

C. Default Deferral Template → used to defer revenue/expense recognition over time, unrelated to item receipt.

D. Dampener Quantity → used in demand planning/MRP to avoid unnecessary changes to supply orders; not for receiving more items.

So the correct configuration is Over-Receipt Code with Tolerance %.

Comprehensive Detailed Explanation

Set up a new fiscal year

In Business Central, fiscal years are created in the Accounting Periods page.

To start a new fiscal year, you must Select Create Year, which generates the periods for the new fiscal year.

Other options like Close Year or Fiscal Year Balance are for closing or balancing, not for initial setup.Correct: Select Create Year

Define the fiscal year start date

The case study specifies that the company’s fiscal year starts on June 1.

Therefore, when creating the new fiscal year, you must ensure the first period begins on June 1.

The correct action is Check New Fiscal Year for June 1.Correct: Check New Fiscal Year for June 1

Restrict posting

The business requirement is:

Restrict users to post only in the current month.

Only certain accounting users may have broader posting permissions.

In General Ledger Setup, the Allow Posting From and Allow Posting To fields control the global posting date range.

For user-specific restrictions or exceptions, User Setup allows overriding posting ranges for individual users.

Since the requirement is to restrict all users generally, the best action is:In General Ledger Setup, set the Allow Posting From and Allow Posting To options to current dates.Correct: In General Ledger Setup, set the Allow Posting From and Allow Posting To options to current dates

Microsoft Learn References

Accounting Periods (Create and Close Fiscal Years)

General Ledger Setup – Allow Posting From/To

User Setup and Posting Date Permissions

Comprehensive Detailed Explanation

The requirement in the case study is that the company warehouses products as Case quantities but wants to expand capabilities by setting up all inventory in a quantity of Each. This means they need to configure Units of Measure (UoM) so that one item can be managed both by Case and by Each.

In Business Central:

Units of Measure Table – defines the available unit codes (e.g., EACH, CASE, BOX) with descriptions.

To use Case as a unit, you must first define it in the Units of Measure table.

Correct: D. Add a Code and Description to the Units of Measure table.

Item Units of Measure (Qty. per UoM) – links the item to multiple units of measure and specifies conversion (e.g., 1 Case = 10 Each).

For example, if a Case = 10 Each, you set Qty. per Unit of Measure = 10 for Case.

Correct: A. Set a Unit of Measure for case to a Qty. of 10.

Why the other options are incorrect:

B. Qty. per UoM = 1 is redundant (default Each already equals 1). It does not meet the requirement for Case-to-Each conversion.

C. Case with Qty. = 1 would make Case = Each, which is incorrect because Case must represent multiple units (10 Each).

Microsoft Learn References

Work with Units of Measure

Set Up Item Units of Measure

Query successful

Based on the image, the correct sequence of actions to configure a purchase order process is:

Add a vendor

Add a Purchaser Code

Add Items, including Quantity, to the lines

Change the Purchase Order to a Status of Released

This sequence follows the logical flow of creating and finalizing a purchase order for an audit trail:

Add a vendor: A purchase order must be linked to a specific supplier (vendor).

Add a Purchaser Code: This identifies who is creating the order, which is crucial for accountability and audit purposes.

Add Items, including Quantity, to the lines: You must specify what is being purchased and in what quantity.

Change the Purchase Order to a Status of Released: Releasing the purchase order locks it from further changes and makes it ready for processing, fulfilling the auditor's requirement for a finalized, traceable document.