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PRINCE2F PRINCE2 Practices Practice Question

Exhibit

Refer to the exhibit.

Exhibit:
Business Case:
  Expected Benefits:
    - Reduced operational costs by 15%
    - Improved customer satisfaction score to 90%
  Expected Dis-benefits:
    - Initial investment of $500,000
  Net Benefits: $1,200,000 over 3 years
  Risks:
    - Market changes may affect cost savings (probability: Medium, impact: High)

Based on the exhibit, what is the purpose of including expected dis-benefits in the Business Case?

⚠ Common exam trap

Candidates often confuse dis-benefits with risks or costs, but PRINCE2 explicitly separates them: dis-benefits are certain negative outcomes, risks are uncertain events, and costs are financial expenditures.

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

✓

To provide a balanced view of the project's justification

The PRINCE2 Business Case must include expected dis-benefits to provide a balanced view of the project's justification. Dis-benefits are measurable negative outcomes that, when weighed against benefits, allow the Senior User and Senior Supplier to make an informed go/no-go decision. Without documenting dis-benefits, the Business Case would present an incomplete picture, potentially leading to approval of a project with hidden negative impacts.

Answer analysis

Option-by-option breakdown

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

✗
To identify risks that could affect the project
Why it's wrong here
Dis-benefits are not risks; they are certain negative outcomes.
✗
To show the full cost of the project including ongoing operational costs
Why it's wrong here
The dis-benefit shown is an initial investment, which is a cost, but the purpose is broader: to show negative impacts.
✓
To provide a balanced view of the project's justification
Why this is correct
Dis-benefits are included to give a complete picture of the project's value, including both positive and negative outcomes.
✗
To document the project's key performance indicators
Why it's wrong here
KPIs are not dis-benefits; they measure performance.

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PRINCE2F PRINCE2 Practices Practice Question

Exhibit

Why each option matters

Option-by-option breakdown

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