PRINCE2F PRINCE2 Practices Practice Question

Who typically authorizes the use of the change budget?

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

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Project Board

The Project Board authorizes the change budget, but they may delegate authority to the Change Authority to approve changes within that budget.

Answer analysis

For each option: why learners choose it and why it is or isn't the right answer here.

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Project Board
Why this is correct
The Project Board authorises use of the change budget, since it holds the overall project budget and tolerances. This satisfies the stem's requirement, as the Project Manager may only draw on it within delegated change tolerances.
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Project Manager
Why it's wrong here
The Project Manager administers the change budget day to day but does not hold the delegated authority to authorise its use. That authority sits with the Change Authority; the Project Manager would be the correct choice for recording and tracking change expenditure.
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Senior User
Why it's wrong here
The Senior User represents the interests of those who will use the project's products and is responsible for specifying user requirements and confirming benefits realisation. While they approve changes from a user perspective, their remit does not extend to authorizing the project's financial change budget. This financial accountability rests with the Executive, who holds the overall budget and is ultimately responsible for value for money, making them the correct authority for budget authorisation.
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Change Authority
Why it's wrong here
The Change Authority is a distinct role that may be delegated the change budget, but PRINCE2 places authorisation of change budget use with the Project Board, which owns the overall budget. The Change Authority would be correct only where the Board has formally delegated that authority.

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