The correct answer is to include both the successes and the budget overrun with root causes and recommendations for improvement. This is because lessons learned, as defined by the PMBOK Guide, must capture a balanced view of what went well and what did not, ensuring that future projects can replicate successes while avoiding similar pitfalls. When a project exceeded budget but delivered objectives, the lessons learned content must document the root causes of the cost variance and provide actionable recommendations, turning a negative outcome into a continuous improvement opportunity. On the PMP exam, this scenario tests your understanding that lessons learned are not merely a record of failures but a tool for organizational learning; a common trap is to focus only on the positive results or to omit root cause analysis. Remember the memory tip: “Both the bouquet and the bruise”—capture the wins and the wounds with their causes to truly learn.
PMP Practice Question: Business Environment: strategy and project benefits
This PMP practice question tests your understanding of business environment: strategy and project benefits. Read the scenario carefully and evaluate each option against the stated constraints before committing to an answer. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
A project manager is closing a project and compiling lessons learned. The project delivered its objectives but exceeded the budget by 10%. What should the PM include in the lessons learned?
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Both the successes and the budget overrun with root causes and recommendations for improvement
Option B is correct because lessons learned must capture both positive and negative outcomes to provide a balanced view for future projects. Including the budget overrun with root causes and recommendations enables continuous improvement, which is a core principle of project management. The PMBOK Guide emphasizes that lessons learned should document what went well and what did not, along with actionable insights.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
✗
Recommendations on how to penalize the team for the budget overrun
Why it's wrong here
Lessons learned should not focus on blame but on process improvement.
✓
Both the successes and the budget overrun with root causes and recommendations for improvement
Why this is correct
Comprehensive lessons learned include all relevant information to benefit future projects.
Related concept
Read the scenario before looking for a memorised answer.
✗
Only the successful aspects to maintain a positive tone
Why it's wrong here
Lessons learned should include both positive and negative aspects to improve future projects.
✗
The budget overrun and reasons, but not the successes as they are not lessons
Why it's wrong here
Successes are also valuable lessons that can be replicated.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates may think lessons learned should only focus on failures or only on successes, but PMI requires a balanced, objective record of both to drive organizational learning and process improvement.
Detailed technical explanation
How to think about this question
In the PMP context, lessons learned are part of the 'Close Project or Phase' process and are stored in the organizational process assets (OPA). The root cause analysis for a budget overrun might involve techniques like variance analysis or earned value management (EVM) to identify whether the overrun stemmed from inaccurate estimating, scope creep, or resource inefficiencies. Documenting both successes and failures ensures that the lessons learned repository becomes a knowledge base that supports future project planning and risk management.
KKey Concepts to Remember
Read the scenario before looking for a memorised answer.
Find the constraint that changes the correct option.
Eliminate answers that are true in general but not in this case.
TExam Day Tips
→Watch for words such as best, first, most likely and least administrative effort.
→Review why wrong options are wrong, not only why the correct option is correct.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Real-world example
How this comes up in practice
A practitioner preparing for the PMP exam encounters this exact type of scenario on the job. The correct answer here is not the most general option — it is the best answer for the specific constraint described. Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option. Real exam questions reward reading the full scenario before eliminating options, because the constraint defines which answer fits.
Related glossary terms
Concepts from this question explained
These glossary pages explain the core terms tested in this PMP question in full detail.
Business Environment: strategy and project benefits — This question tests Business Environment: strategy and project benefits — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Both the successes and the budget overrun with root causes and recommendations for improvement — Option B is correct because lessons learned must capture both positive and negative outcomes to provide a balanced view for future projects. Including the budget overrun with root causes and recommendations enables continuous improvement, which is a core principle of project management. The PMBOK Guide emphasizes that lessons learned should document what went well and what did not, along with actionable insights.
What should I do if I get this PMP question wrong?
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
What is the key concept behind this question?
Read the scenario before looking for a memorised answer.
About these practice questions
Courseiva creates original exam-style practice questions with explanations and wrong-answer analysis. It does not publish real exam questions, exam dumps, or protected exam content. Learn why practice questions differ from exam dumps →
These questions test the same concept from different angles. Work through them to make sure you can recognise it however the exam phrases it.
Variation 1. A project manager is conducting a lessons learned workshop at project closure. The team identifies that the project's success was hindered by unclear requirements and lack of stakeholder engagement. Which THREE actions should the PM recommend to improve future projects?
medium
✓ A.Involve stakeholders earlier in the requirements gathering process
B.Increase the budget for future projects
C.Reduce the number of meetings to save time
✓ D.Establish a clear decision-making framework and document decisions
✓ E.Implement a formal requirements traceability matrix
Why A: Option A, B, D are correct because these address root causes: early stakeholder involvement, clear requirements, and decision documentation. Option C is not a standard recommendation, E is unrelated.
Last reviewed: Jun 24, 2026
Question Discussion
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