Q:
A company implements Dynamics 365 Finance.

The company has business transactions with international vendors and customers. The company wants to pay new vendors by using a letter of credit.

You need to configure the letter of credit functionality.

Which module should you use?

A Cash and bank management
B Accounts payable
C General ledger
D Accounts receivable

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Answer: A

Explanation:

This item tests the candidate’s knowledge of making payments to international vendors by using the letter of credit functionality.

Letter of credit is a bank document that are commonly used for the purchase and sale of goods across international borders. In Dynamics 365 Finance, it is configured in the Cash and bank management module. Letter of credit is a bank document that is referenced in accounts payable for payment, but it is neither configured nor maintained in the Accounts payables module. The General ledger module maintains the chart of accounts to link the bank account. It does not maintain or create bank documents. Letter of credit is a bank document, which may be used to receive payment; it is neither configured nor maintained in the Accounts receivable module.

Configure letters of credit and guarantees in Dynamics 365 Finance - Training | Microsoft Learn

Letters of credit - Finance | Dynamics 365 | Microsoft Learn

Exam MB-920: Microsoft Dynamics 365 Fundamentals (ERP) MCQ

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Q: A company implements Dynamics 365 Finance. The company has business transactions with international vendors and customers. The company wants to pay new vendors by using a letter of credit. You need to configure the letter of credit functionality. Which module should you use?

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Q:
A company implements Dynamics 365 Finance.

The company has business transactions with international vendors and customers. The company wants to pay new vendors by using a letter of credit.

You need to configure the letter of credit functionality.

Which module should you use?