This PRINCE2F practice question tests your understanding of prince2 processes. 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.
In the Directing a Project process, which activity is performed by the Project Board when a stage is complete?
Authorize the next Stage Plan
The Project Board authorizes the next stage based on the End Stage Report and Stage Plan.
Authorize a Work Package
Why wrong: Work Packages are authorized by the Project Manager in CS, not the Project Board.
Assign a Team Manager
Why wrong: Team Managers are assigned by the Project Manager.
Issue a Highlight Report
Why wrong: Highlight Reports are issued by the Project Manager.
Answer choices
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
Authorize the next Stage Plan
In the Directing a Project process, the Project Board is responsible for reviewing the Stage End Report and deciding whether to authorize the next Stage Plan. This is the formal activity that occurs when a stage is complete, ensuring that the project remains viable and aligned with business justification before proceeding. The correct answer is A because the board must approve the plan for the next stage to continue.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
For each option: why learners choose it and why it is or isn't the right answer here.
Authorize the next Stage Plan
Why this is correct
The Project Board authorizes the next stage based on the End Stage Report and Stage Plan.
Related concept
Read the scenario before looking for a memorised answer.
Authorize a Work Package
Why it's wrong here
Work Packages are authorized by the Project Manager in CS, not the Project Board.
Assign a Team Manager
Why it's wrong here
Team Managers are assigned by the Project Manager.
Issue a Highlight Report
Why it's wrong here
Highlight Reports are issued by the Project Manager.
Common exam traps
PeopleCert often tests the distinction between activities performed by the Project Board versus the Project Manager, and the trap here is confusing the board's authorization of the next Stage Plan with the Project Manager's authorization of a Work Package or issuing a Highlight Report.
Detailed technical explanation
The Directing a Project process covers the Project Board's decision points from startup to closure. At stage end, the board reviews the Stage End Report, which includes actual vs. planned performance, lessons learned, and the next Stage Plan. The board must formally authorize the next Stage Plan to release the required resources and confirm the project remains within tolerances; without this authorization, the project cannot proceed to the next stage.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Real-world example
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
PRINCE2 Processes — This question tests PRINCE2 Processes — Read the scenario before looking for a memorised answer..
The correct answer is: Authorize the next Stage Plan — In the Directing a Project process, the Project Board is responsible for reviewing the Stage End Report and deciding whether to authorize the next Stage Plan. This is the formal activity that occurs when a stage is complete, ensuring that the project remains viable and aligned with business justification before proceeding. The correct answer is A because the board must approve the plan for the next stage to continue.
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
Read the scenario before looking for a memorised answer.
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Last reviewed: Jun 30, 2026
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.
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