PRINCE2F Practice Test 21 — 15 Questions

Question 1

Who is responsible for ensuring that the Business Case remains viable throughout the project?

Accepted Answer

Executive. The Executive (Senior Responsible Owner) is accountable for the Business Case and ensuring its ongoing viability.

Answer

Project Manager

Answer

Senior Supplier

Answer

Senior User

Question 2

A project is forecast to exceed its cost tolerance. According to PRINCE2, what should the Project Manager do?

Accepted Answer

Raise an Exception Report to the Project Board and await their direction before proceeding. According to PRINCE2, when a tolerance (cost, time, scope, or risk) is forecast to be exceeded, the Project Manager must escalate the issue to the Project Board via an Exception Report. The Project Board then decides on corrective action. Option A correctly reflects this escalation procedure. Options B, C, and D are incorrect because the Project Manager cannot unilaterally increase the budget, should not continue without reporting the forecast deviation, and should not close the project immediately without board assessment.

Answer

Increase the project budget to absorb the additional cost and continue with the current Stage Plan

Answer

Continue with the current Stage Plan and report the cost overrun in the next Highlight Report

Answer

Close the project immediately as the Business Case is no longer viable

Question 3

A project is in the Managing a Stage Boundary process. Which TWO outputs are produced during this process? (Select TWO)

Accepted Answer

End Stage Report. SB produces the End Stage Report and the next Stage Plan (or Exception Plan).

Answer

Project Plan

Answer

Benefits Management Approach

Answer

Project Brief

Question 4

The Project Board is reviewing an Exception Plan and decides to approve it. Which process is the Project Board executing?

Accepted Answer

Directing a Project. Approving an Exception Plan is a key decision made by the Project Board during Directing a Project. The Project Board authorizes exception plans, stage plans, and closure. Controlling a Stage is for the PM. Managing a Stage Boundary produces the Exception Plan but the Board approves it. Closing a Project is for project closure.

Answer

Controlling a Stage

Answer

Closing a Project

Answer

Managing a Stage Boundary

Question 5

Which of the following correctly distinguishes Project Assurance from Project Support?

Accepted Answer

Project Assurance is independent; Project Support provides administrative services. Project Assurance provides independent oversight and is accountable to the Project Board. Project Support provides administrative services to the Project Manager.

Answer

Both roles are performed by the same person in small projects

Answer

Project Support is independent; Project Assurance provides administrative services

Answer

Project Assurance is part of the Project Manager's team; Project Support is part of the Project Board

Question 6

What is the definition of a project according to PRINCE2?

Accepted Answer

A temporary organization that is created for the purpose of delivering one or more business products according to an agreed Business Case. PRINCE2 defines a project as a temporary organization created to deliver one or more business products according to an agreed Business Case. This definition emphasizes the temporary nature of a project, its focus on outputs (products), and the necessity of a validated Business Case to justify the investment. It distinguishes projects from ongoing operations by highlighting the unique, time-limited structure and the governance provided by the Business Case.

Answer

A process for managing day-to-day activities

Answer

A permanent organizational structure that performs ongoing operations

Answer

A team that works on repetitive tasks

Question 7

In PRINCE2, what is the definition of quality?

Accepted Answer

Fit for purpose. In PRINCE2, quality is defined as 'fit for purpose,' meaning the product must meet the stated user needs and expectations. This definition aligns with the PRINCE2 principle of continued business justification, ensuring the product delivers value. It is broader than mere conformance to specification, as it considers the product's usability and effectiveness in its intended environment.

Answer

Excellence of the product

Answer

Conformance to specification

Answer

Zero defects

Question 8

Which of the following is an opportunity response in PRINCE2?

Accepted Answer

Exploit. PRINCE2 defines five threat responses (Avoid, Transfer, Mitigate, Accept, Contingent) and five opportunity responses (Exploit, Share, Enhance, Accept, Contingent). 'Exploit' is a specific opportunity response that seeks to make the opportunity happen. 'Accept' is also an opportunity response, meaning the opportunity is accepted without proactive action, but with a contingency plan. Therefore, both A and B are correct opportunity responses.

Answer

Transfer

Answer

Avoid

Question 9

Which of the following is a key difference between a Request for Change and an Off-specification?

Accepted Answer

A Request for Change proposes a modification to an agreed product, while an Off-specification identifies a product that does not meet its specification.. A Request for Change (RFC) proposes a modification to an agreed product, while an Off-specification (Off-spec) identifies that a product does not meet its specification. Option B is incorrect because both may or may not have cost and time impacts; it's not a defining difference. Option C is incorrect because both RFCs and Off-specs are recorded in the Issue Register, not the Risk Register. Option D is incorrect because both RFCs and Off-specs require appropriate authorization, typically at the level defined in the project's change authority.

Answer

A Request for Change always has a cost and time impact, while an Off-specification never does.

Answer

A Request for Change is recorded in the Issue Register, while an Off-specification is recorded in the Risk Register.

Answer

A Request for Change does not require authorization, while an Off-specification does.

Question 10

Which process is used by the Project Manager to prepare the End Stage Report and the next Stage Plan?

Accepted Answer

Managing a Stage Boundary. The Managing a Stage Boundary process is where the Project Manager reviews the current stage, produces an End Stage Report, and creates the next Stage Plan (or Exception Plan) for the Project Board's approval.

Answer

Controlling a Stage

Answer

Directing a Project

Answer

Closing a Project

Question 11

What is the purpose of the Product Status Account?

Accepted Answer

To report on the status of products in the project. A Product Status Account provides information about the status of one or more products, including version, status, and location.

Answer

To approve changes to baselined products

Answer

To document product descriptions

Answer

To record changes to products

Question 12

Who is responsible for maintaining the Business Case throughout the project?

Accepted Answer

Executive. The Executive (Senior Responsible Owner) owns the Business Case and is responsible for its maintenance.

Answer

Project Manager

Answer

Senior User

Answer

Senior Supplier

Question 13

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

Accepted Answer

Raise an Exception Report. The PM must escalate via an Exception Report to the Project Board.

Answer

Close the project

Answer

Continue and report later

Answer

Increase the project budget

Question 14

Which THREE of the following are benefits of adopting PRINCE2?

Accepted Answer

Better control of resources. PRINCE2 provides a common language, control of resources, and a focus on business justification.

Answer

Increased project duration

Answer

Improved stakeholder management

Question 15

Which of the following is a characteristic of a project according to PRINCE2?

Accepted Answer

Temporary organization

Answer

Repetitive activities

Answer

Ongoing operations

Answer

Functional management