You may be unable to create a computer AD account with PowerShell SDK using a service account. It will fail with error:

Command: $adAccounts.FailedAccounts

Impersonate user logon failed, Win32 Error Code: 1385

Error Reason: InvalidParamtersForADOperation

1. Please remove the Active Directory policy: Deny Log on locally

Computer Configuration-> Windows Settings->Security Settings->Local Policies->User Rights Assignment". Double click "Deny Log on locally"

2. Ensure the account has  "Access this computer from network" user rights.

Problem Cause

This could happen when you have  "Deny Log on locally" group policy applied in active directory