PRINCE2F PRINCE2 Practices Practice Test 30 — 15 Questions

Question 1

In product-based planning, what does the Product Flow Diagram show?

Accepted Answer

The sequence and dependencies of products. The Product Flow Diagram in PRINCE2 product-based planning shows the sequence in which products are developed and the dependencies between them. It is a key technique for identifying the order of creation and the relationships among products, which is essential for planning the project's activities and stages.

Answer

The hierarchical breakdown of all products

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The activities required to create each product

Answer

The quality criteria for each product

Question 2

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

Accepted Answer

To enable the Project Board to review the current stage, approve the next stage plan, and confirm continued business justification. The purpose of the Managing a Stage Boundary process is to provide the Project Board with sufficient information to review the current stage, approve the next stage plan, and confirm continued business justification. Option A is wrong because the Business Case is reviewed, not updated, during this process. Option C is wrong because the next stage plan is created in this process, not merely planned. Option D is wrong because the End Project Report is produced in the Closing a Project process, not here.

Answer

To update the Business Case based on the latest stage performance

Answer

To plan the next stage and update the Project Plan

Answer

To produce the End Project Report

Question 3

Which process is triggered when an Exception Plan is approved?

Accepted Answer

Managing a Stage Boundary. When an Exception Plan is approved, the project board authorizes the project manager to proceed with the plan. This triggers the Managing a Stage Boundary process because the exception plan replaces the current stage plan, requiring a formal stage boundary to update the project plan, business case, and risk register before the next stage begins.

Answer

Controlling a Stage

Answer

Initiating a Project

Answer

Directing a Project

Question 4

Which TWO roles are permanent members of the Project Board?

Accepted Answer

Executive. The Project Board consists of the Executive, Senior User, and Senior Supplier. The Project Manager is not a permanent member.

Answer

Team Manager

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Project Manager

Answer

Project Support

Question 5

What is the difference between Project Assurance and Project Support?

Accepted Answer

Project Assurance provides independent oversight, while Project Support provides administrative services. Project Assurance provides independent oversight and is accountable to the Project Board, while Project Support provides administrative services to the Project Manager and team. Option B is incorrect because Project Assurance is independent, not part of the Project Manager's team. Option C is incorrect because Project Assurance does not manage quality control; it provides oversight, and the Risk Register is managed by the Project Manager with support from Project Support. Option D is incorrect because both roles are required in all projects, though the level of effort may vary.

Answer

Project Assurance is part of the Project Manager's team, while Project Support is independent

Answer

Project Assurance manages quality control, while Project Support manages the Risk Register

Answer

Project Assurance is only required for large projects, while Project Support is always required

Question 6

Which THREE of the following are components of the Business Case?

Accepted Answer

Major risks. The Business Case includes reasons, expected benefits, costs, timescale, major risks, and other elements. Benefits and dis-benefits are included.

Answer

Project Plan

Answer

Lessons learned

Question 7

Which process does the Project Board use to make key decisions and commit resources?

Accepted Answer

Directing a Project. Directing a Project. This process is used by the Project Board to make key decisions, such as authorizing initiation, stage plans, and project closure. Option A (Managing a Stage Boundary) is performed by the Project Manager. Option B (Controlling a Stage) is also a Project Manager process. Option D (Managing Product Delivery) is a Team Manager process.

Answer

Managing a Stage Boundary

Answer

Controlling a Stage

Answer

Managing Product Delivery

Question 8

Which TWO statements correctly describe the difference between the risk owner and the risk actionee?

Accepted Answer

There can be multiple risk actionees for a single risk; there is only one risk owner. The risk owner is responsible for managing the risk, while the risk actionee performs specific actions.

Answer

The risk owner is always a member of the Project Board; the risk actionee is always a team member

Answer

The risk owner is responsible for updating the risk register; the risk actionee is not

Answer

The risk actionee is responsible for identifying new risks; the risk owner is responsible for implementing responses

Question 9

What is the definition of quality in PRINCE2?

Accepted Answer

Fit for purpose. PRINCE2 defines quality as 'fit for purpose' — the product must meet the needs of the user. Option A is wrong because quality is not about cost efficiency but about meeting requirements. Option B is wrong because customer satisfaction is a broader concept; PRINCE2 focuses on fitness for purpose. Option D is wrong because 'zero defects' is not the PRINCE2 definition of quality; quality is about meeting stated needs, not necessarily achieving zero defects.

Answer

The lowest cost to produce

Answer

Customer satisfaction

Answer

Zero defects

Question 10

During the Controlling a Stage process, the Project Manager identifies that the project is forecast to exceed the agreed cost tolerance for the current stage. What should the Project Manager do?

Accepted Answer

Raise an Exception Report to the Project Board and await their direction before proceeding. When a stage is forecast to exceed its cost tolerance, the Project Manager must escalate the issue to the Project Board via an Exception Report. This is the embodiment of PRINCE2's management by exception principle. The Project Board then decides whether to approve a revised Stage Plan or take other action. Option A is incorrect because the Project Manager cannot increase the budget without Project Board approval. Option C is incorrect because viability of the Business Case is assessed by the Project Board, not unilaterally by the Project Manager. Option D is incorrect because escalating via a Highlight Report only reports progress, not exceptions; exceptions require an Exception Report.

Answer

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

Answer

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

Answer

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

Question 11

A project has identified a risk that the key supplier may go out of business. The Project Manager decides to source a backup supplier. Which risk response is being applied?

Accepted Answer

Fallback. Fallback is a threat response that involves preparing a contingency plan to be implemented if the risk occurs. Sourcing a backup supplier is an example of a fallback, as it provides an alternative if the primary supplier fails. Option A is wrong because Avoid would mean taking action to eliminate the risk entirely, such as finding a different supplier altogether. Option B is wrong because Transfer would involve shifting the risk to a third party, such as through insurance or a contract. Option C is wrong because Accept would mean taking no proactive action and simply acknowledging the risk.

Answer

Avoid

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Transfer

Answer

Accept

Question 12

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

Accepted Answer

Executive. The Executive owns the Business Case and is accountable for its viability throughout the project. Option A is incorrect because the Senior User represents the users' needs, not the Business Case. Option B is incorrect because the Project Manager maintains the Business Case on a day-to-day basis but does not own it. Option D is incorrect because the Senior Supplier provides resources and expertise, not ownership of the Business Case.

Answer

Senior User

Answer

Project Manager

Answer

Senior Supplier

Question 13

In PRINCE2, what is the primary purpose of the Product Breakdown Structure (PBS)?

Accepted Answer

To identify all products that must be produced by the project. The PBS is used to identify all the products that need to be created, providing a hierarchical decomposition of the project's outputs. Option A is wrong because the Product Flow Diagram shows the sequence. Option C is wrong because the PBS does not show dependencies; that is the Product Flow Diagram. Option D is wrong because quality criteria are documented in Product Descriptions.

Answer

To show the dependencies between products

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To define the quality criteria for each product

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To show the order in which products will be created

Question 14

Which document describes the quality management approach for the project, including the procedures to be used for quality assurance and quality control?

Accepted Answer

Quality Management Approach. The Quality Management Approach defines the project's approach to quality, including quality assurance and quality control procedures. Option A is incorrect because the Project Product Description describes the final product. Option C is incorrect because the Quality Register records quality review results, not the approach. Option D is incorrect because the Product Description describes individual products.

Answer

Project Product Description

Answer

Quality Register

Answer

Product Description

Question 15

What is the difference between a Highlight Report and a Checkpoint Report?

Accepted Answer

The Highlight Report is from the Project Manager to the Project Board, while the Checkpoint Report is from the Team Manager to the Project Manager. In PRINCE2, the Highlight Report is produced by the Project Manager and sent to the Project Board to provide a summary of stage progress, while the Checkpoint Report is produced by the Team Manager and sent to the Project Manager to report on work package progress. Option A is wrong because the Exception Report (not Highlight Report) is used to escalate exceptions. Option B is wrong because the Highlight Report is typically produced at regular intervals during a stage (e.g., weekly), not only at stage boundaries. Option D is wrong because both reports cover progress, risks, and issues; the focus difference is on audience and level of detail.

Answer

The Highlight Report is used to escalate exceptions, while the Checkpoint Report is for routine communication

Answer

The Highlight Report is produced only at stage boundaries, while the Checkpoint Report is produced weekly

Answer

The Highlight Report focuses on risks and issues, while the Checkpoint Report focuses on product quality