PRINCE2F Overview of PRINCE2 and the project environment Practice Test 2 — 15 Questions

Question 1

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

Accepted Answer

Raise an Exception Report

Answer

Report in the next Highlight Report

Answer

Increase the project budget

Answer

Close the project

Question 2

What is the difference between a Request for Change and an Off-specification?

Accepted Answer

A Request for Change is for a proposed modification; an Off-specification is a product that does not meet its specification

Answer

A Request for Change is always approved; an Off-specification is always rejected

Answer

An Off-specification is raised by the Project Board; a Request for Change is raised by the Project Manager

Answer

They are the same thing

Question 3

During the Controlling a Stage process, the Team Manager reports a completed product. What does the Project Manager do next?

Accepted Answer

Accept the work package and update the Stage Plan

Answer

Raise an Issue to the Project Board

Answer

Update the Project Plan

Answer

Send a Highlight Report

Question 4

Which of the following is NOT a benefit of adopting PRINCE2?

Accepted Answer

Automatic project success

Answer

Clear definition of roles and responsibilities

Answer

Focus on business justification

Answer

Improved stakeholder communication

Question 5

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

Accepted Answer

Starting Up a Project is done before the project is authorized; Initiating a Project is after

Answer

Initiating a Project is done by the Project Board; Starting Up a Project is done by the Project Manager

Answer

They are the same process

Answer

Starting Up a Project is about creating the PID; Initiating a Project is about creating the Project Brief

Question 6

Which TWO of the following are PRINCE2 principles?

Accepted Answer

Manage by stages. Option B, 'Manage by stages,' is correct because PRINCE2 requires dividing the project into manageable stages, with a Project Board decision point (End Stage Assessment) at each stage boundary to authorize the next stage. Option C, 'Tailor to suit the project environment,' is correct because tailoring is one of the seven PRINCE2 principles, ensuring the method is adapted to the project's size, complexity, and organizational context rather than applied rigidly. The other options are not PRINCE2 principles: 'Define deliverables' (A) is not a principle (PRINCE2 uses the principle 'Focus on products'), 'Manage by objectives' (D) is not a PRINCE2 principle (the principle is 'Manage by exception'), and 'Use product-based planning' (E) is a PRINCE2 technique/theme rather than one of the seven principles.

Answer

Define deliverables

Answer

Manage by objectives

Answer

Use product-based planning

Question 7

Which ONE of the following is an output of the Closing a Project process?

Accepted Answer

End Project Report. The Closing a Project process produces the End Project Report, which provides a summary of the project's performance and lessons learned. The Project Product Description is an input to the Closing a Project process, not an output. The other options (Benefits Management Approach, Lessons Log, Project Plan) are also inputs or earlier outputs, not deliverables of the Closing a Project process.

Answer

Project Product Description

Answer

Benefits Management Approach

Answer

Lessons Log

Answer

Project Plan

Question 8

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

Accepted Answer

Executive. The Executive (Senior Responsible Owner) is the owner of the Business Case and is accountable for its development and maintenance. The Project Manager may assist in its creation but does not own it.

Answer

Project Manager

Answer

Senior User

Answer

Senior Supplier

Question 9

A Project Manager receives a Team Plan from a Team Manager. Which process should the Project Manager use to incorporate this into the overall project?

Accepted Answer

Controlling a Stage. The Controlling a Stage (CS) process is where the Project Manager authorizes work packages, monitors progress, and handles issues. The Team Plan is part of the work package assignment, so it is used in CS.

Answer

Managing a Stage Boundary

Answer

Directing a Project

Answer

Managing Product Delivery

Question 10

Which THREE of the following are integrated elements of PRINCE2?

Accepted Answer

Principles. PRINCE2 defines four integrated elements that together form the method: principles, practices (formerly themes), processes, and the project context/tailoring environment. Option A (Principles) is correct because the seven principles (e.g., continued business justification, learn from experience, defined roles and responsibilities) are the universal, mandatory foundations that must be applied for a project to be considered true PRINCE2. Option D (Practices/Themes) is correct because the seven practices (business case, organization, quality, plans, risk, change, progress) describe the aspects of project management that must be continually addressed throughout the project. Option E (Processes) is correct because the seven processes (starting up a project, directing a project, initiating a project, controlling a stage, managing product delivery, managing a stage boundary, closing a project) provide the structured activities that guide the project lifecycle. Option B (Project Mandate) is not an integrated element; it is an input document that triggers the Starting up a Project process. Option C (Tailoring) is not one of the four integrated elements; tailoring is the activity of adapting the method to the project's environment, which is itself governed by the principles rather than being a separate element.

Answer

Project Mandate

Answer

Tailoring

Question 11

Which role 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

Senior Supplier

Answer

Senior User

Answer

Project Manager

Question 12

Which document is the key output of the Initiating a Project process?

Accepted Answer

Project Initiation Documentation. The Project Initiation Documentation (PID) is the key output of the Initiating a Project process because it consolidates all essential information needed to justify and manage the project, including the Business Case, Project Plan, and Project Brief. PRINCE2 explicitly defines the PID as the single source of reference for the project board to assess whether the project should proceed to the next stage.

Answer

Business Case

Answer

Project Brief

Answer

Project Plan

Question 13

Which of the following is a characteristic of a project?

Accepted Answer

Unique output. A project is defined as a temporary endeavor undertaken to create a unique product, service, or result. The 'unique output' is a core characteristic because every project delivers something that has not been done before in exactly the same way, distinguishing it from routine operations. PRINCE2 emphasizes this uniqueness as a key driver for tailoring management processes to the specific project context.

Answer

Ongoing operations

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Permanent team structure

Answer

Repetitive processes

Question 14

Which TWO of the following are PRINCE2 principles?

Accepted Answer

Continued Business Justification. Option C, Continued Business Justification, is a PRINCE2 principle because PRINCE2 requires that a project must have a justifiable reason to start and remain aligned with that justification throughout its lifecycle, otherwise it should be stopped. Option E, Manage by Stages, is also a PRINCE2 principle because PRINCE2 projects are planned, monitored, and controlled on a stage-by-stage basis, with decision points at stage boundaries. The other options are not PRINCE2 principles: Use of Agile (A) is a delivery approach that can be combined with PRINCE2 but is not one of its principles, Waterfall Development (B) is a traditional sequential lifecycle model rather than a PRINCE2 principle, and Daily Stand-ups (D) are an Agile/Scrum practice, not a PRINCE2 principle.

Answer

Use of Agile

Answer

Waterfall Development

Answer

Daily Stand-ups