PRINCE2F PRINCE2 Practices Practice Question
Which TWO of the following are components of a Business Case?
⚠ Common exam trap
PeopleCert often tests the distinction between the contents of the Business Case and the contents of the Project Plan or other management products, leading candidates to mistakenly include project team structure or product descriptions as Business Case components.
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
✓
Major risks
A Business Case in PRINCE2 is the document that justifies the project's initiation and continued viability. Major risks are a component because they must be identified and assessed to determine if the project's potential rewards outweigh the threats. Expected benefits are also a core component, as they define the measurable improvements that the project is expected to deliver, forming the basis for the justification.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✓
Major risks
Why this is correct
Major risks form part of the Business Case because they capture the uncertainties that could affect the project's viability and justify continued investment. This satisfies the stem by matching the Business Case's purpose of documenting the justification, costs, benefits and associated uncertainties for decision-makers.
- ✓
Expected benefits
Why this is correct
Expected benefits form part of the Business Case because they articulate the measurable value the project should deliver, justifying the investment. This satisfies the stem by matching the Business Case's role in documenting the rationale, including forecast outcomes against which success is later assessed.
- ✗
Configuration item records
Why it's wrong here
Configuration item records track versions and status of project products within configuration management, not the Business Case. It is tempting because the Business Case is itself a controlled product, but its content covers reasons, options, costs, benefits, risks and timescales, not configuration item inventory data.
- ✗
Product descriptions
Why it's wrong here
Product descriptions define what the project will deliver and sit within the product breakdown structure, not the Business Case. It is tempting because the Business Case references outputs when justifying benefits, but descriptions themselves are a separate product-based planning component covering scope and quality criteria.
- ✗
Project team structure
Why it's wrong here
Project team structure belongs in the organisation or resource elements of the project management team, not the Business Case. It is tempting because the Business Case justifies investment and resourcing, but team hierarchy is documented separately, whereas the Business Case covers benefits, costs, risks and timescales.
Go deeper
Related to this question
About these practice questions
One of 1,189 original PRINCE2F practice questions on Courseiva, each with a full explanation and wrong-answer analysis — not exam dumps or protected exam content. Learn why practice questions differ from exam dumps →
JA
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.