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Exception Plan After Tolerance Breach — Project Board Action | PRINCE2 Foundation Explained

This PRINCE2F practice question tests your understanding of prince2 practices. The scenario asks you to isolate a root cause — eliminate options that address a different problem before choosing. 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.

The Project Board is considering whether to authorize the next stage. The current stage has used all its cost tolerance. What should the Project Board 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

Request an Exception Plan before authorizing the next stage

According to PRINCE2, if a stage has exceeded its cost tolerance, the Project Board cannot authorize the next stage without first assessing the situation. The correct action is to request an Exception Plan, which details how to recover from the deviation and bring the project back within tolerance. This ensures the board has a revised forecast and recovery strategy before committing to further expenditure.

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.

  • Request an Exception Plan before authorizing the next stage

    Why this is correct

    To address the tolerance breach, the Board should request an Exception Plan to adjust future plans.

    Related concept

    Read the scenario before looking for a memorised answer.

  • Revise the project's cost tolerance

    Why it's wrong here

    The Board could revise project-level tolerance, but this is not the immediate step; an Exception Plan addresses the stage breach.

  • Close the project immediately

    Why it's wrong here

    Closing may be an option but is not the only action; the Board should first consider an Exception Plan.

  • Authorize the next stage as planned

    Why it's wrong here

    The tolerance has been fully used; continuing without change risks exceeding overall budget.

Common exam traps

Common exam trap: answer the scenario, not the keyword

The trap here is that candidates may assume the board can simply adjust tolerances or proceed as normal, failing to recognize that PRINCE2 mandates an Exception Plan when a stage exceeds its tolerance, not just a simple revision of the budget.

Detailed technical explanation

How to think about this question

In PRINCE2, an Exception Plan is a detailed plan that replaces the current stage plan when a deviation exceeds tolerance. It is produced by the Project Manager and approved by the Project Board. The board uses the Exception Plan to decide whether to continue with revised forecasts, request further changes, or close the project. This mechanism ensures that the board retains control over significant deviations and does not blindly proceed into the next stage.

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

Got this wrong? Here's your next step.

Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.

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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: Request an Exception Plan before authorizing the next stage — According to PRINCE2, if a stage has exceeded its cost tolerance, the Project Board cannot authorize the next stage without first assessing the situation. The correct action is to request an Exception Plan, which details how to recover from the deviation and bring the project back within tolerance. This ensures the board has a revised forecast and recovery strategy before committing to further expenditure.

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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Last reviewed: Jul 4, 2026

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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.