Microsoft MB-800 Exam - Topic 1 Question 57 Discussion

Actual exam question for Microsoft's MB-800 exam

Question #: 57
Topic #: 1

A company uses the average costing method and inventory periods. Automatic Cost Posting is not enabled.

You close the inventory period for July 2020. You set the value of the Allow Posting From field in General Ledger Setup to August 1, 2020.

You receive and post a purchase invoice for freight charges on August 8, 2020 against a purchase invoice that was posted on July 15, 2020. You run the Adjust cost -- Item entries batch job for August.

You need to identify the adjustment entry related to July after running the batch job.

Which date is automatically selected for the value entry by batch job?

AJuly 15, 2020

BAugust 8, 2020

CAugust 1, 2020

DJuly 1, 2020

Show Suggested Answer

Suggested Answer: A, D

by Penney at Nov 23, 2023, 10:45 AM

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Kristofer

6 months ago

But what about the posting date? Does that not matter here?

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Sabra

6 months ago

I think it’s always the earlier date when adjusting costs.

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Amber

6 months ago

Wait, are we sure it’s not August 8? That seems confusing.

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Micah

7 months ago

Definitely, it has to be July 15, 2020!

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Rosalyn

7 months ago

The adjustment entry will be based on the original invoice date, July 15.

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Iraida

7 months ago

I’m a bit confused about the posting dates. I thought the batch job would pick the date of the freight charges, which is August 8, 2020.

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Lauran

7 months ago

This seems similar to a practice question we did on inventory adjustments. I feel like it might default to the July date since that's when the invoice was posted.

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Scot

7 months ago

I'm not entirely sure, but I remember something about how the batch job selects the earliest date available. Could it be August 1, 2020?

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Latricia

8 months ago

I think the adjustment entry should relate to the original purchase invoice date, which was July 15, 2020.

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Lura

8 months ago

Confident I can solve this one. I'll just need to carefully apply the rules around inventory periods and cost adjustments.

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Delisa

8 months ago

Based on the details provided, I think the answer is B. The batch job should use the August 8, 2020 date since that's when the freight charges were posted.

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Fannie

8 months ago

I'm a bit confused by the different dates mentioned. I'll need to make sure I understand the timeline and how the batch job works in this scenario.

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Dolores

8 months ago

Okay, let's see. The key information seems to be the dates and the Adjust cost -- Item entries batch job. I think I have an idea of how to approach this.

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Sarah

8 months ago

Hmm, this one seems tricky. I'll need to carefully read through the details and think it through step-by-step.

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Katina

8 months ago

Okay, let me think this through. I know manual summarization can be done on the ABRs, but I'm not sure if it's required or optional. I'll have to review the details on that.

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Major

8 months ago

I feel pretty confident about this. I've worked with these Oracle modules before, so I think I can identify the correct ownership for the shared entities mentioned in the statements.

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Merlyn

8 months ago

Wait, what? I'm a little confused here. I need to double-check the definition of a Cartesian product to make sure I understand this correctly.

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Laticia

1 year ago

Automatic Cost Posting not enabled? Wow, these guys are really going manual with their inventory management. Next thing you know, they'll be using abacuses and carrier pigeons to keep track of their finances.

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Garry

1 year ago

I heard the company uses the 'average costing method' - is that like when you just guesstimate the cost of everything and call it a day? Sounds like a recipe for 'average' accounting, if you ask me.

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Marget

11 months ago

C: Right, it helps smooth out fluctuations in costs.

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Julian

12 months ago

B: Oh, I see. So it's not just guessing, it's a calculated average.

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Leslie

12 months ago

A: It's actually a method where you calculate the average cost of all inventory items.

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Ailene

1 year ago

July 1, 2020? Really? That's like, the start of the year or something. This question is clearly trying to trick us. I'm sticking with the July 15, 2020 date - it just makes the most logical sense.

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Yuette

12 months ago

Definitely, let's go with July 15, 2020 for the adjustment entry.

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Rusty

1 year ago

Yeah, I think so too. It's probably the date the purchase invoice was posted.

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Annamae

1 year ago

I agree, July 1, 2020 doesn't seem right. July 15, 2020 makes more sense.

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Daren

1 year ago

I'm going with option C, August 1, 2020. That's the date the 'Allow Posting From' field was set to in the General Ledger Setup, so the batch job should use that as the default date for the adjustment entry.

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Willis

1 year ago

Hmm, August 8, 2020 sounds like the correct answer, since that's the date the freight charges were posted. But wait, the question says the inventory period for July 2020 was already closed, so I think the answer has to be July 15, 2020.

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Denae

11 months ago

So, the batch job would select July 15, 2020 automatically.

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Felix

11 months ago

Yes, but the inventory period for July was already closed.

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Emily

12 months ago

But the freight charges were posted on August 8, 2020.

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Felix

1 year ago

I think the answer is July 15, 2020.

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Ma

1 year ago

The batch job will automatically select the July 15, 2020 date for the value entry, since that's the date of the original purchase invoice being adjusted. This makes perfect sense to me.

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