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PRINCE2-PRACTITIONER Processes Practice Question

A project is currently executing the Controlling a Stage (CS) process. A new risk is identified that threatens the achievement of the stage objectives and exceeds the Project Manager's risk budget. What must the Project Manager do under CS?

Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

Escalate the risk to the Project Board via an Issue Report or Exception Report.

When an issue or risk exceeds the Project Manager's authority or tolerances (including risk budget), the Project Manager must escalate it to the Project Board using an Exception Report or Issue Report.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • Rewrite the Business Case to remove the affected benefits.

    Why it's wrong here

    The Project Manager cannot unilaterally alter the Business Case.

  • Close the project immediately without consulting anyone.

    Why it's wrong here

    Only the Project Board can authorize project closure.

  • Absorb the risk cost by secretly cutting quality checks on other Work Packages.

    Why it's wrong here

    Cutting quality checks violates PRINCE2 quality tolerances and governance rules.

  • Escalate the risk to the Project Board via an Issue Report or Exception Report.

    Why this is correct

    Risks exceeding stage tolerances or project budgets must be escalated to the Project Board for guidance or exception handling.

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This PRINCE2-PRACTITIONER question is part of Courseiva's 297-question bank — original exam-style content with full explanations and wrong-answer analysis, never real exam questions or exam dumps. Learn why practice questions differ from exam dumps →

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JA

Written and reviewed by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

Last reviewed August 2026 · checked against the official AXELOS / PeopleCert exam blueprint

This PRINCE2-PRACTITIONER practice question is part of Courseiva's free AXELOS / PeopleCert certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the PRINCE2-PRACTITIONER exam.