- A
Expected benefits
Benefits are a key part of the Business Case.
- B
Product descriptions
Why wrong: Product descriptions are part of planning and quality, not the Business Case.
- C
Configuration item records
Why wrong: Configuration item records are part of change control.
- D
Investment appraisal
Investment appraisal (e.g., ROI) is included in the Business Case.
- E
Risk register
Why wrong: The risk register is separate, though major risks are summarized in the Business Case.
Question 177 of 1,731
Business Case Components: Expected Benefits and Investment Appraisal
This PRINCE2F practice question tests your understanding of prince2 practices. Read the scenario carefully and evaluate each option against the stated constraints before committing to an answer. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
Which TWO of the following are components of the Business Case?
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
✓
Expected benefits
The Business Case in PRINCE2 is the key document that justifies the project's initiation and continued viability. It must include the expected benefits (the measurable improvements from the project's outputs) and an investment appraisal (a financial evaluation like Net Present Value or Payback Period to assess the project's value). These two components are mandatory for a complete Business Case.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✓
Expected benefits
Why this is correct
Benefits are a key part of the Business Case.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
Product descriptions
Why it's wrong here
Product descriptions are part of planning and quality, not the Business Case.
- ✗
Configuration item records
Why it's wrong here
Configuration item records are part of change control.
- ✓
Investment appraisal
Why this is correct
Investment appraisal (e.g., ROI) is included in the Business Case.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
Risk register
Why it's wrong here
The risk register is separate, though major risks are summarized in the Business Case.
Common exam traps
Common exam trap: answer the scenario, not the keyword
A common PRINCE2 exam trap is confusing the components of the Business Case with other management products like the Risk Register or Configuration Item Records.
Detailed technical explanation
How to think about this question
The Business Case is developed during the Starting Up a Project process and is refined throughout the project. The investment appraisal typically uses techniques like Net Present Value (NPV), Internal Rate of Return (IRR), or Payback Period to quantify the financial justification. Expected benefits must be specific, measurable, and aligned with corporate or programme objectives, and they are tracked in the Benefits Management Approach, which is derived from the Business Case.
KKey Concepts to Remember
- Read the scenario before looking for a memorised answer.
- Find the constraint that changes the correct option.
- Eliminate answers that are true in general but not in this case.
TExam Day Tips
- Watch for words such as best, first, most likely and least administrative effort.
- Review why wrong options are wrong, not only why the correct option is correct.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Real-world example
How this comes up in practice
A practitioner preparing for the PRINCE2F exam encounters this exact type of scenario on the job. The correct answer here is not the most general option — it is the best answer for the specific constraint described. Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option. Real exam questions reward reading the full scenario before eliminating options, because the constraint defines which answer fits.
What to study next
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FAQ
Questions learners often ask
What does this PRINCE2F question test?
PRINCE2 Practices — This question tests PRINCE2 Practices — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Expected benefits — The Business Case in PRINCE2 is the key document that justifies the project's initiation and continued viability. It must include the expected benefits (the measurable improvements from the project's outputs) and an investment appraisal (a financial evaluation like Net Present Value or Payback Period to assess the project's value). These two components are mandatory for a complete Business Case.
What should I do if I get this PRINCE2F question wrong?
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
What is the key concept behind this question?
Read the scenario before looking for a memorised answer.
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Same concept, more angles
3 more ways this is tested on PRINCE2F
These questions test the same concept from different angles. Work through them to make sure you can recognise it however the exam phrases it.
Variation 1. Which TWO of the following are components of the Business Case?
medium- A.Product descriptions
- B.Quality criteria
- ✓ C.Investment appraisal
- D.Acceptance criteria
- ✓ E.Expected benefits
Why C: The Business Case in PRINCE2 is developed during the Initiating a Project process and is used to justify the project's viability. It includes the investment appraisal (C) to assess the financial justification and the expected benefits (E) to define the measurable improvements the project will deliver.
Variation 2. Which TWO of the following are components of the Business Case?
medium- ✓ A.Investment appraisal
- B.Configuration Item Records
- C.Product Description
- D.Risk Register
- ✓ E.Expected benefits
Why A: The Business Case in PRINCE2 is the key document that justifies the project's initiation and continued viability. It must include an investment appraisal to evaluate the financial viability of the project, and it must define the expected benefits that the project aims to deliver. These two components are essential for decision-making and are explicitly required by the PRINCE2 methodology.
Variation 3. Which TWO of the following are elements of the Business Case?
medium- A.Project Plan
- ✓ B.Expected benefits
- ✓ C.Major risks
- D.Quality Register
- E.Risk Register
Why B: Expected benefits and major risks are key components of a Business Case in PRINCE2.
Keep practising
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Last reviewed: Jul 4, 2026
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