PRINCE2F Practice Question: Overview of PRINCE2 and the project environment
A project is forecast to exceed its cost tolerance. What should the Project Manager do?
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
✓
Raise an Exception Report
The PM must escalate via an Exception Report to the Project Board.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Close the project
Why it's wrong here
That decision is for the Project Board.
- ✗
Continue and report later
Why it's wrong here
Management by exception requires immediate escalation.
- ✓
Raise an Exception Report
Why this is correct
The PM must escalate to the Project Board.
- ✗
Increase the project budget
Why it's wrong here
The PM cannot change tolerances.
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JA
Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
This PRINCE2F practice question is part of Courseiva's free 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 PRINCE2F exam.