PRINCE2F Practice Exam 68 — 20 Questions

Question 1

During the 'Controlling a Stage' process, the Project Manager is reviewing the stage status and notices that a Work Package is forecast to exceed its cost tolerance. What is the correct PRINCE2 action for the Project Manager to take?

Choose an answer to begin — your selection is scored in the full session.

Accepted Answer

Take corrective action within the stage tolerance, and if the stage tolerance is also forecast to be exceeded, escalate to the project board with an Exception Report.. The Project Manager must first manage the Work Package deviation within the stage tolerance. If corrective action cannot keep the stage within its tolerance, the Project Manager must escalate to the project board with an Exception Report, as the stage is in exception. Immediate escalation without corrective action or unilateral plan changes are not appropriate.

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Ask the project board for a change to the Work Package cost tolerance so that the forecast cost becomes acceptable.

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Immediately escalate to the project board with an Exception Report, without taking any corrective action.

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Update the Stage Plan to reflect the increased cost and continue without informing the project board, as the Work Package tolerance is not the same as the stage tolerance.

Question 2

During a PRINCE2 project, the Project Manager is reviewing the Business Case at the end of a stage. The Benefits Review Plan shows that the expected benefits are still achievable, but the project costs have increased. What should the Project Manager do?

Accepted Answer

Update the Business Case to reflect the increased costs and reassess the viability. The Business Case must be updated whenever there are changes that affect its viability, such as increased costs. The Project Manager should reassess the justification and update the Business Case to ensure it remains accurate. This supports the continued viability of the project and informs the Project Board's decisions.

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Take no action because the benefits are still achievable

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Revise the Benefits Review Plan to show reduced benefits

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Escalate to the Project Board immediately without updating the Business Case

Question 3

A Project Manager is tailoring the Risk practice for a small project with a tight timeline. Which TWO of the following are appropriate tailoring actions for the Risk practice in this context? (Choose two.)

Accepted Answer

Combine the Risk Management Strategy and the Risk Register into a single document to reduce administrative overhead.. Tailoring the Risk practice for a small project can include combining the Risk Management Strategy and Risk Register into one document and reducing the frequency of risk reviews to align with stage boundaries. These actions reduce overhead while still meeting PRINCE2 requirements. Eliminating artefacts, centralising ownership, or removing the strategy would undermine effective risk management.

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Appoint the Project Manager as the sole owner of all risks to streamline accountability.

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Remove the Risk Management Strategy and rely on the organisation's corporate risk policy instead.

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Eliminate the Risk Register entirely and manage all risks informally in team meetings.

Question 4

A Project Manager is working on a project where the Executive and Senior User disagree on the priority of a scope change. The Executive wants to approve the change to realise early benefits, while the Senior User is concerned about the impact on quality. What should the Project Manager do first?

Accepted Answer

Arrange a Project Board meeting to discuss the change and its implications.. When Project Board members disagree on a change, the Project Manager should facilitate a Board meeting to discuss the change's impact and reach a collective decision. The Board is the correct forum for resolving such conflicts, ensuring that both benefits and quality concerns are weighed. Escalating prematurely, acting unilaterally, or rejecting the change without discussion would bypass proper governance.

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Approve the change because the Executive has ultimate authority.

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Escalate the disagreement to the Programme Board for resolution.

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Reject the change to maintain the baseline and avoid conflict.

Question 5

A Project Manager is applying the PRINCE2 change theme and needs to ensure that changes to baselined products are handled correctly. Which TWO of the following are valid steps in the PRINCE2 issue and change control procedure? (Choose two.)

Accepted Answer

Assess the impact of the issue on the project. The PRINCE2 issue and change control procedure requires that issues be captured in the Issue Register and then assessed for their impact on the project. These steps ensure that decisions about changes are based on evidence and that the Project Board retains control over baselined products. Skipping assessment or ignoring issues would break the control loop and risk unmanaged change.

Answer

Approve the change immediately without assessment

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Close the project immediately if a change is requested

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Ignore issues that do not affect the current stage

Question 6

A Project Manager is midway through a stage when the Team Manager for a work package reports that a specialist product will exceed its agreed tolerance by 15 percent. The stage-level tolerances are still intact. What should the Project Manager do FIRST?

Accepted Answer

Record the deviation in the Issue Register and take corrective action within the stage, consulting the Team Manager.. Within a stage, the Project Manager owns the authority to handle issues that do not threaten stage or project tolerances. The correct approach records the deviation formally and applies corrective action with the Team Manager, keeping the response proportionate. Escalation, halting work, or rewriting the Business Case all overreact to a contained work package variance.

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Escalate directly to the Project Board by raising an Exception Report.

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Instruct the Team Manager to stop all work on the work package immediately and await further instruction.

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Amend the Business Case to reflect the increased cost before any further work continues.

Question 7

A Project Manager is midway through the Controlling a Stage process. The Stage Plan shows sufficient remaining time and budget to complete all work packages, but the Project Manager has just received an Exception Report from a Team Manager indicating that a work package will exceed its agreed tolerances. What should the Project Manager do FIRST?

Accepted Answer

Assess the exception against the stage tolerances and consider corrective action before escalating.. When a Team Manager raises an exception, the Project Manager must first assess it against the stage tolerances and decide whether corrective action can keep the stage within tolerance. Only if the stage tolerances are forecast to be exceeded does the Project Manager escalate to the Project Board. This ensures that manageable issues are resolved at the lowest appropriate level.

Answer

Escalate the exception to the Project Board immediately by producing an Exception Report for the stage.

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Instruct the Team Manager to stop all work on the work package and await a new Work Package.

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Authorize the Team Manager to continue and record the issue in the Issue Register without further action.

Question 8

A project manager is working on a PRINCE2 project. The Project Board has just approved the Project Initiation Documentation, and the project is about to move into the delivery stage. The project manager is preparing to authorize the first work package. Which process is being executed when the project manager authorizes the work package?

Accepted Answer

Controlling a Stage. The correct answer is Controlling a Stage because this process covers the day-to-day management of a stage, including authorizing work packages, monitoring progress, and taking corrective action. Once the Project Board approves the Project Initiation Documentation, the project manager uses Controlling a Stage to delegate work to Team Managers, ensuring the stage plan is executed.

Answer

Managing Product Delivery

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Directing a Project

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Managing a Stage Boundary

Question 9

A project is in the Controlling a Stage process. The Project Manager reviews the Work Package status and notices that a completed product has failed its quality inspection and requires rework. Which action should the Project Manager take FIRST?

Accepted Answer

Record the failure in the Quality Register and assess the impact on the stage plan and tolerances. Within Controlling a Stage, the Project Manager is responsible for monitoring work, reviewing quality results, and taking corrective action. A failed quality inspection must be recorded in the Quality Register, and the impact on the stage plan and tolerances assessed. Only if tolerances are threatened should escalation occur. This ensures the issue is managed at the appropriate level before involving the Project Board.

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Update the Quality Register with the failure and raise a new Work Package to correct the product

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Close the stage and move to Managing a Stage Boundary to replan the affected work

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Immediately escalate to the Project Board by creating an Exception Report

Question 10

During a project, the project manager is responsible for managing the delivery of the project's products. Which PRINCE2 principle is being applied when the project manager ensures that the project has a continued business justification?

Accepted Answer

Continued business justification. The principle 'Continued business justification' directly requires that a project has an ongoing valid Business Case. The project manager ensuring continued justification is applying this principle. Other principles like Manage by stages or Learn from experience support project management but do not specifically mandate continued justification.

Answer

Manage by stages

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Learn from experience

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Tailor to suit the project environment

Question 11

A PRINCE2 project is nearing the end of a stage. The project manager has received all Checkpoint Reports and completed the stage's products. The project manager now needs to prepare for the next stage. According to PRINCE2, which activity is performed in the Managing a Stage Boundary process?

Accepted Answer

Request authorization to start the next stage from the Project Board. In Managing a Stage Boundary, the project manager prepares the End Stage Report and Next Stage Plan, then requests the Project Board's authorization to start the next stage. This process ensures that the project remains viable and that the next stage is properly planned before work begins, maintaining the principle of manage by stages.

Answer

Authorize a work package to the Team Manager for the next stage

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Produce a Highlight Report for the Project Board

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Produce an Exception Report if the stage is forecast to exceed its tolerances

Question 12

A Project Manager is preparing to close a project. The Project Board has confirmed that the project's products have been handed over to the operational and maintenance environment. Which activity is part of the Closing a Project process?

Accepted Answer

Producing the End Project Report and evaluating the project against its Business Case. Closing a Project involves confirming that all products have been handed over, evaluating the project against its Business Case, and producing the End Project Report. These activities ensure the Project Board can confirm that the project's objectives have been met and that there are no outstanding issues before authorising closure.

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Authorising the next stage and updating the Project Plan with the latest actuals

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Producing the Stage Plan for the final stage and updating the Risk Register

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Creating the Project Initiation Documentation and securing Project Board approval

Question 13

A project manager is preparing for a stage boundary. The project board has requested a summary of the stage's performance and a forecast for the next stage. Which document should the project manager produce to meet this request?

Accepted Answer

End Stage Report. The End Stage Report is the correct document because it is specifically designed to summarize stage performance and provide a forecast for the next stage, as requested by the project board at a stage boundary. Other reports like Highlight, Checkpoint, or Exception Reports serve different purposes and are not used for this specific request.

Answer

Highlight Report

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Exception Report

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Checkpoint Report

Question 14

During the Managing a Stage Boundary process, the Project Manager is preparing the End Stage Report. Which of the following should be included in the End Stage Report?

Accepted Answer

A summary of the stage's performance against its tolerances. The End Stage Report is produced during Managing a Stage Boundary and provides a summary of the stage's performance against its tolerances, including progress, issues, and risks. It is used by the Project Board to assess whether the stage was successful and to decide on the next stage.

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A detailed plan for the next stage

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The project's risk management approach

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The updated Business Case

Question 15

During a project following PRINCE2, the Project Manager is preparing the End Stage Report at the end of a stage. The Project Board has asked for an assessment of how the project is performing against its Business Case. Which document should the Project Manager update to reflect the current viability of the project?

Accepted Answer

The Business Case. The Business Case is the document that provides the justification for the project and must be updated at each stage boundary. It includes the reasons for the project, expected benefits, costs, risks, and timescales. At the end of a stage, the Project Manager updates it to show current viability, enabling the Project Board to decide whether to continue. The End Stage Report summarizes performance but does not replace the Business Case.

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The Benefits Review Plan

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The Project Initiation Documentation

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The End Stage Report

Question 16

A project is approaching the end of the Initiation Stage. The project manager has drafted the Project Initiation Documentation (PID) and now needs to define the project's controls, including the reporting arrangements and the tolerances for each level of management. Which document within the PID should the project manager use to define these controls?

Accepted Answer

The Project Controls section of the PID. The Project Initiation Documentation contains a dedicated Project Controls section that specifies how the project will be governed, including reporting requirements and tolerance levels for each management level. This section enables the project board to manage by exception and ensures that the project manager knows when to escalate issues. The other documents serve different purposes within the PID.

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The Business Case

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The Risk Management Strategy

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The Project Plan

Question 17

A PRINCE2 project manager is managing a stage and has identified that a work package is forecast to exceed its agreed tolerances. The project manager needs to take corrective action. Which TWO activities are part of the Controlling a Stage process? (Choose two.)

Accepted Answer

Authorizing a work package to the Team Manager. In Controlling a Stage, the project manager authorizes work packages and takes corrective action to keep the stage within tolerances. These activities ensure that the stage delivers its products as planned. Corrective action may involve adjusting plans or resources, while work package authorization delegates work to the Team Manager, maintaining control and accountability.

Answer

Producing an End Stage Report for the Project Board

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Updating the Business Case

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Capturing lessons learned for the project

Question 18

During the Initiation Stage of a PRINCE2 project, the project manager is compiling the Project Initiation Documentation (PID). The senior user insists that the project's acceptance criteria must be clearly defined and agreed. In which part of the PID should the project manager ensure that the acceptance criteria are documented?

Accepted Answer

The Project Product Description. The Project Product Description is the management product that defines the project's final product, including its quality criteria and acceptance criteria. It is used to ensure that the project delivers what the user needs and that acceptance is based on agreed criteria. The other PID components address different aspects of the project.

Answer

The Project Plan

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The Quality Management Strategy

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The Business Case

Question 19

A PRINCE2 project is in the Closing a Project process. The Project Manager is preparing for the final closure. Which activity is performed during this process?

Accepted Answer

Confirm that all products have been delivered and accepted.. In Closing a Project, the Project Manager confirms that all products have been delivered and accepted according to the quality criteria. This activity ensures that the project has met its objectives and that there are no outstanding issues. The Project Board then authorises project closure based on the End Project Report. Handing over products occurs in Managing Product Delivery, and preparing the next Stage Plan is part of Managing a Stage Boundary.

Answer

Authorise the project closure.

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Prepare the next Stage Plan.

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Hand over the project's products to the operational environment.

Question 20

During a PRINCE2 project, the Project Manager is reviewing the Plans practice. The Project Board has asked for a plan that covers the entire project, from initiation to closure, and will be used as the baseline against which progress is measured. Which type of plan should the Project Manager use?

Accepted Answer

Project Plan. The Project Plan is the high-level plan that covers the entire project and serves as the baseline for progress measurement. It is created during Initiating a Project and updated at stage boundaries. Stage Plans cover individual stages, Team Plans cover team-level work, and Exception Plans are used to recover from tolerance breaches. The Project Board's request for a project-wide baseline is met by the Project Plan.

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Team Plan

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Exception Plan

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Stage Plan