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CAPM Predictive Plan-Based Methodologies Practice Question

A project manager is leading a predictive project to develop a new software system. The project sponsor asks for a document that formally authorizes the project and provides the project manager with the authority to apply organizational resources to project activities. Which document should the project manager reference?

⚠ Common exam trap

Test-takers frequently confuse the project charter with the project management plan, as both are key documents, but only the charter formally authorizes the project and grants authority.

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

✓

Project charter

The project charter is the formal document that authorizes the project and gives the project manager the authority to use organizational resources. It is created during the project initiation phase and is essential for predictive projects. The business case and benefits management plan are inputs to the charter, while the project management plan is developed later and does not serve as the authorization document.

Answer analysis

Option-by-option breakdown

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

  • ✗

    Benefits management plan

    Why it's wrong here

    The benefits management plan describes how and when the benefits of the project will be delivered and how they will be measured. It is an input to the project charter but does not authorize the project or grant authority to the project manager. The scenario requires the formal authorization document, which is the project charter.

  • ✗

    Project management plan

    Why it's wrong here

    The project management plan describes how the project will be executed, monitored, controlled, and closed. It is not the document that formally authorizes the project or grants authority to the project manager. The project management plan is developed after the project charter and is used during planning and execution, not for initial authorization.

  • ✓

    Project charter

    Why this is correct

    The project charter is the document issued by the project initiator or sponsor that formally authorizes the existence of a project and provides the project manager with the authority to apply organizational resources to project activities. It is a key input to the Develop Project Charter process and is essential for initiating a predictive project. This directly matches the scenario's requirement.

  • ✗

    Business case

    Why it's wrong here

    The business case is a documented economic feasibility study used to establish the validity of the benefits of a selected component lacking sufficient definition. It is an input to the project charter but does not authorize the project or provide authority to the project manager. The scenario asks for the document that formally authorizes the project, which is the project charter.

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Written and reviewed by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

Last reviewed September 2026 · checked against the official PMI exam blueprint

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