PRINCE2F Practice Test 18 — 15 Questions

Question 1

A project is forecast to exceed its cost tolerance. What should the Project Manager do first?

Accepted Answer

Issue an Exception Report to the Project Board. According to PRINCE2's management by exception, when a tolerance is forecast to be exceeded, the Project Manager must escalate to the Project Board via an Exception Report.

Answer

Update the Business Case to reflect the new cost

Answer

Close the project as it is no longer viable

Answer

Approve additional budget using contingency

Question 2

Which process is responsible for ensuring that the project does not proceed until the Project Board has authorized the initiation?

Accepted Answer

Directing a Project. Directing a Project includes the activity 'Authorise Initiation' where the Project Board reviews the Project Brief and decides whether to allow initiation. Starting Up a Project prepares the Project Brief but does not authorise initiation.

Answer

Controlling a Stage

Answer

Initiating a Project

Answer

Starting Up a Project

Question 3

Which TWO of the following are outputs of the Managing a Stage Boundary process?

Accepted Answer

Stage Plan for the next management stage. Managing a Stage Boundary produces an End Stage Report and a next Stage Plan (which is a Stage Plan for the next management stage). The Project Brief is an output of Starting Up a Project. The Benefits Management Approach is an output of Initiating a Project. The Lessons Report is an output of Closing a Project.

Answer

Benefits Management Approach

Answer

Project Brief

Answer

Lessons Report

Question 4

The Project Manager has identified an issue that could cause a delay in the current stage. The issue cannot be resolved within the stage's tolerance. What should the Project Manager do?

Accepted Answer

Raise an Exception Report and seek direction from the Project Board. When a tolerance is forecast to be exceeded, the Project Manager must escalate to the Project Board via an Exception Report. The PM cannot ignore the issue or update the plan without authorisation. Closing the project is premature.

Answer

Close the project and produce an End Project Report

Answer

Update the Stage Plan to accommodate the delay and inform the Project Board

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Record the issue in the Daily Log and continue with the plan

Question 5

What is the purpose of the Closing a Project process?

Accepted Answer

To provide a controlled closure of the project. The purpose of Closing a Project is to provide a fixed point to verify that the project has achieved its objectives, hand over products, confirm benefits review arrangements, and release resources. Starting Up a Project is to ensure basic conditions exist; Initiating a Project establishes the project; Managing a Stage Boundary plans the next stage.

Answer

To establish solid foundations for the project

Answer

To plan the next stage of the project

Answer

To ensure that the project is viable before committing to significant expenditure

Question 6

Which role is responsible for maintaining the Business Case throughout the project?

Accepted Answer

Executive. The Executive (Senior Responsible Owner) is responsible for the Business Case throughout the project. The Project Manager develops and maintains the Business Case on behalf of the Executive, but the ultimate accountability lies with the Executive. The Project Board does not maintain the Business Case directly. The Senior User represents user requirements.

Answer

Project Manager

Answer

Project Board

Answer

Senior User

Question 7

Which TWO of the following are benefits of adopting PRINCE2?

Accepted Answer

It provides a common vocabulary across the organization. PRINCE2 promotes a common vocabulary and provides a framework for consistent project management. It does not guarantee cost savings or eliminate all risks.

Answer

It eliminates all project risks

Answer

It ensures that there is no need for project documentation

Answer

It guarantees that projects will be delivered on time

Question 8

What is the difference between the Starting Up a Project (SU) process and the Initiating a Project (IP) process?

Accepted Answer

SU produces the Project Brief; IP produces the Project Initiation Documentation (PID). SU is a pre-project process to determine if the project is viable before committing to detailed planning. IP formally establishes the project foundation and produces the PID. Key difference: SU decides whether to proceed; IP creates the detailed plans and strategies.

Answer

SU is optional; IP is mandatory

Answer

SU is performed by the Project Board; IP is performed by the Project Manager

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SU includes detailed planning; IP only produces high-level plans

Question 9

Which process is triggered when the Project Manager needs to escalate an exception to the Project Board?

Accepted Answer

Controlling a Stage. When a stage tolerance is forecast to be exceeded, the PM produces an Exception Report (part of Controlling a Stage) and then the Board decides, but the escalation itself occurs within CS. However, the process for creating an Exception Plan is SB. The escalation step is part of CS.

Answer

Managing a Stage Boundary

Answer

Directing a Project

Answer

Managing Product Delivery

Question 10

During the Closing a Project process, what must be produced to confirm that the project has delivered what was expected?

Accepted Answer

End Project Report. The End Project Report is the key document in Closing a Project that confirms the project's deliverables and performance against the original PID. It also includes lessons and a summary of benefits reviews.

Answer

Lessons Report

Answer

Benefits Realisation Plan

Answer

Project Product Description

Question 11

Which THREE of the following are outputs of the Initiating a Project process?

Accepted Answer

Risk Management Approach. IP produces the PID, which includes the Project Plan, Business Case, and various management approaches. The Project Brief and End Stage Report are not outputs of IP.

Answer

Project Brief

Answer

End Stage Report

Question 12

A Team Manager is assigned a Work Package. In which process does the Team Manager execute the work and deliver the products?

Accepted Answer

Managing Product Delivery. Managing Product Delivery is the process where Team Managers accept, execute, and deliver Work Packages, reporting progress via Checkpoint Reports.

Answer

Controlling a Stage

Answer

Managing a Stage Boundary

Answer

Directing a Project

Question 13

A project is in the Managing a Stage Boundary process. Which document should the Project Manager produce to report the current stage's performance?

Accepted Answer

End Stage Report. During Managing a Stage Boundary, the Project Manager produces an End Stage Report to report the performance of the current stage. Highlight Reports are produced during Controlling a Stage. The Lesson Log is updated throughout. The Project Brief is from Starting Up a Project.

Answer

Highlight Report

Answer

Lesson Log

Answer

Project Brief

Question 14

A project is in its final stage. The Project Manager has prepared the End Project Report and Lessons Report. What must happen before the project can be closed?

Accepted Answer

The Project Board must approve the End Project Report and authorize closure. The Project Board must authorize project closure through the Directing a Project process. The PM prepares the recommendation, but only the Board can formally close.

Answer

The final products must be delivered to the operations team

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The Business Case must be updated with actual costs and benefits

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The project team must be released

Question 15

What is the difference between Starting Up a Project and Initiating a Project?

Accepted Answer

SU produces the Project Brief; IP produces the PID. SU is a pre-project process to check viability; IP is the full initiation to establish the project on a solid foundation, creating the PID.

Answer

SU appoints the Project Manager; IP appoints the Executive

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SU plans the entire project; IP plans only the first stage

Answer

SU is mandatory; IP is optional