PRINCE2F PRINCE2 Practices Practice Test 3 — 15 Questions

Question 1

In the Risk Management procedure, what is the difference between a risk owner and a risk actionee?

Accepted Answer

The risk owner is accountable for managing the risk; the risk actionee carries out the risk response actions.. In PRINCE2's Risk Management procedure, the risk owner is the single accountable person for managing a specific risk, ensuring that appropriate responses are planned and implemented. The risk actionee is the person assigned to carry out the risk response actions on a day-to-day basis, reporting progress to the risk owner. This separation of accountability (owner) from execution (actionee) ensures clear governance and prevents diffusion of responsibility.

Answer

The risk owner manages the risk on a day-to-day basis; the risk actionee reports progress.

Answer

There is no difference; the terms are synonymous.

Answer

The risk owner is responsible for identifying the risk; the risk actionee implements the response.

Question 2

Which of the following is a threat response in PRINCE2?

Accepted Answer

Share. In PRINCE2, the 'Share' threat response is used to allocate ownership of a threat to a third party, such as through insurance or a contract, to reduce the impact on the project. This is distinct from risk responses for opportunities, as 'Share' is specifically listed as a threat response in the PRINCE2 guidance. Options A and B are opportunity responses, not threat responses.

Answer

Enhance

Answer

Exploit

Answer

Reject

Question 3

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

Accepted Answer

Project Manager. The Project Manager is responsible for maintaining the Business Case throughout the project because PRINCE2 requires the Business Case to be a living document that is reviewed and updated at every stage boundary. The Project Manager ensures that the Business Case remains viable by monitoring costs, benefits, and risks, and by providing updated information to the Executive for decision-making. This aligns with the PRINCE2 principle of continued business justification.

Answer

Project Support

Answer

Senior User

Answer

Executive

Question 4

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

Accepted Answer

Raise an Exception Report to the Project Board and await their direction before proceeding. PRINCE2 requires the Project Manager to escalate any forecast deviation beyond tolerance to the Project Board via an Exception Report. The Project Board then decides whether to approve a revised plan or take other corrective action, ensuring the Business Case remains viable.

Answer

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

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

Question 5

What is the purpose of the Product Breakdown Structure (PBS)?

Accepted Answer

To identify the products to be produced and their relationships. The Product Breakdown Structure (PBS) is a hierarchical diagram that identifies all the products (both management and specialist) that the project must deliver, along with their relationships. It decomposes the final output into smaller, manageable components, ensuring nothing is missed. This directly supports the PRINCE2 principle of 'focus on products' by providing a complete product scope before planning activities or assigning resources.

Answer

To assign responsibilities to team members

Answer

To define quality criteria for each product

Answer

To sequence activities in the Project Plan

Question 6

Which of the following is a purpose of the Quality Review technique?

Accepted Answer

To assess the product against its quality criteria and identify improvements. The Quality Review technique is used to assess a product against its quality criteria, allowing stakeholders to identify improvements. It does not approve the Business Case, allocate work packages, or update the Project Plan. Therefore, option B is correct.

Answer

To approve the Business Case

Answer

To allocate work packages to team managers

Answer

To update the Project Plan

Question 7

Which TWO of the following are types of issue in PRINCE2?

Accepted Answer

Off-specification. In PRINCE2, an issue is a relevant event that has occurred and requires management attention. The two recognized types of issue are 'Off-specification' (something that should be provided but is not) and 'Request for Change' (a proposal for a change to a product's specification). Options B and C are therefore correct.

Answer

Risk

Answer

Constraint

Answer

Assumption

Question 8

Which THREE of the following are components of the Project Initiation Documentation (PID)?

Accepted Answer

Risk Register. The Risk Register is a component of the Project Initiation Documentation (PID) because it formally records identified risks, their assessment, and planned responses at the initiation stage. It provides the baseline for ongoing risk management throughout the project, ensuring risks are tracked and controlled from the start.

Answer

Lessons Log

Answer

Work Package

Question 9

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

Accepted Answer

A Request for Change is a proposal for a modification, whereas an Off-specification is a product that does not meet its specification. In PRINCE2, a Request for Change (RFC) is a formal proposal for a modification to a product, baseline, or agreed-upon aspect of the project, while an Off-specification (Off-spec) is a product that does not meet its agreed specification. Option C correctly captures this fundamental distinction, making it the right answer.

Answer

A Request for Change is an issue that cannot be resolved, whereas an Off-specification is a problem that can be resolved

Answer

A Request for Change is a product that does not meet its specification, whereas an Off-specification is a proposal for a change

Answer

A Request for Change is a proposal for a change, whereas an Off-specification is a product that should have been produced but was not

Question 10

Which THREE of the following are types of issue in PRINCE2?

Accepted Answer

Off-specification. In PRINCE2, an issue is a formal term for any relevant event that has occurred but was not planned, and requires management action. The three defined types of issue are: Request for Change (a proposal for a modification), Off-specification (something that should be provided but is not, or is provided incorrectly), and Problem/Concern (any other issue that could affect the project's objectives). These are explicitly listed in the PRINCE2 manual as the three categories of issue.

Answer

Risk

Answer

Exception

Question 11

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

Accepted Answer

Project Manager. The Project Manager is responsible for maintaining the Business Case throughout the project because PRINCE2 assigns the day-to-day management of the Business Case to the Project Manager, who must ensure it remains viable and aligned with the project's progress. The Project Manager updates the Business Case with actual costs, benefits, and risks, and escalates any deviations to the Project Board. This responsibility is distinct from the Executive's ownership of the Business Case, which is a strategic, not operational, role.

Answer

Project Support

Answer

Executive

Answer

Senior User

Question 12

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

Accepted Answer

Stage Plan for the next stage. The Managing a Stage Boundary process prepares the next stage plan and updates the project plan, but its direct outputs include the Stage Plan for the next stage and the End Stage Report. The Stage Plan is created to detail the work for the upcoming stage, while the End Stage Report summarizes the current stage's performance against the plan. Option C is correct because the Stage Plan for the next stage is a mandatory output of this process.

Answer

Project Plan

Answer

Benefits Review Plan

Answer

Project Brief

Question 13

Which TWO roles are part of the Project Board?

Accepted Answer

Senior User. The Project Board consists of the Executive, Senior User, and Senior Supplier. Therefore, options A and B are correct. Option C (Project Manager) is wrong because the Project Manager is not on the Board. Option D (Team Manager) is wrong because the Team Manager reports to the Project Manager. Option E (Change Authority) is wrong because Change Authority is a separate role.

Answer

Project Manager

Answer

Team Manager

Answer

Change Authority

Question 14

Which THREE of the following are components of the Project Initiation Documentation (PID)?

Accepted Answer

Business Case. The Project Initiation Documentation (PID) includes the Business Case, Project Approach, and Project Plan. Therefore, options A, D, and E are correct. Option B (Product Status Account) is a configuration management report, not part of the PID. Option C (Project Brief) is created before the PID during the Initiating a Project process and is used as input, but is not a component of the PID itself.

Answer

Product Status Account

Answer

Project Brief

Question 15

What is the purpose of the Managing a Stage Boundary process?

Accepted Answer

To enable the Project Board to review the current stage and authorize the next stage. The Managing a Stage Boundary process provides the Project Board with sufficient information to review the current stage, approve the next Stage Plan, and authorize continued work. Option B is incorrect because planning the initiation stage is part of the Starting up a Project process. Option C is incorrect because that describes Directing a Project. Option D is incorrect because monitoring and controlling the work of the current stage is part of the Controlling a Stage process.

Answer

To enable the Project Manager to plan the initiation stage

Answer

To enable the Project Board to give overall direction and control of the project

Answer

To enable the Project Manager to monitor and control the work of the current stage