CAPM Business Analysis Frameworks Practice Question
Which THREE of the following are typical components of a business case?
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
✓
Alternative Analysis
A business case typically includes alternative analysis (C) to evaluate different options, financial analysis (D) such as cost-benefit analysis and ROI, and risk assessment (E) to identify potential risks and mitigations. The project charter (A) is a document that authorizes the project, not a component of the business case. The work breakdown structure (B) is a planning tool used after the project is initiated, not part of the business case.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Project Charter
Why it's wrong here
Project charter is an authorization document, not a business case component.
- ✗
Work Breakdown Structure
Why it's wrong here
WBS decomposes project work; it's not part of the business case.
- ✓
Alternative Analysis
Why this is correct
Alternative analysis compares options to support decision-making.
- ✓
Financial Analysis
Why this is correct
Financial analysis justifies investment.
- ✓
Risk Assessment
Why this is correct
Risk assessment evaluates uncertainties affecting the business case.
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