PRINCE2F People: organizations, teams, and leadership Practice Question
The Project Board has approved an Exception Plan to recover from a budget overrun. The Project Manager updates the Project Plan. What else must the Project Manager update?
⚠ Common exam trap
Watch out — candidates often think only the Project Plan needs updating when a new baseline is approved, but PRINCE2 explicitly requires the Business Case to be updated because the exception plan changes the cost-benefit justification, which is the core of the project's approval.
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
✓
The Business Case
When an Exception Plan is approved to recover from a budget overrun, the Project Plan must be updated to reflect the new cost and schedule baselines. However, the Business Case must also be updated because the exception plan changes the project's forecast costs and benefits, which directly affects the justification for the project. PRINCE2 requires that the Business Case remains viable and approved whenever a significant deviation occurs, ensuring continued alignment with organizational objectives.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
The Risk Register
Why it's wrong here
While risks may be updated, the most critical update is the Business Case.
- ✓
The Business Case
Why this is correct
The Business Case must be updated to reflect the changes from the Exception Plan.
- ✗
The Project Brief
Why it's wrong here
The Project Brief is created at start-up and is not updated after initiation.
- ✗
The Benefits Management Approach
Why it's wrong here
The Benefits Management Approach may be updated but is not immediately required; the Business Case is key.
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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.