4.1.1 Explain the Purpose of the ‘business Case’ Practice (5.1) PRINCE2-FOUNDATION-VERSION-7 Practice Questions (Page 5)

Questions 21–24

1. 21application · medium

   A software development project is halfway through its delivery stage. The project manager has just received a report showing that the project's costs have increased by 25% and the expected benefits are now unlikely to be realized. According to PRINCE2, what should the project manager do?

   • AStop the project immediately, as the increased costs mean the project is no longer viable.
   • BUpdate the project plan to reflect the new costs and continue without informing the project board.
   • CEscalate the situation to the project board, presenting the updated business case so they can decide whether the project should continue.
   • DContinue with the project as planned, since the business case was approved at the start and should not be revisited.
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2. 22application · medium

   A project to implement a new HR system has been running for six months. During a highlight report review, the project board notices that the expected benefits are no longer aligned with the organization's strategic objectives. According to PRINCE2, what should the project board do?

   • AInstruct the project manager to update the project plan to reflect the new strategic objectives.
   • BReview the business case and decide whether the project should continue, be changed, or be stopped.
   • CContinue the project as planned, since the business case was approved at the start.
   • DStop the project immediately, as the benefits are no longer aligned.
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4. 23application · medium

   A project has just delivered its final product, and the project manager is preparing the end project report. What should the project manager include in this report regarding the business case?

   • AA comparison of the actual benefits, costs, and timescales against those in the approved business case.
   • BA forecast of the benefits that will be realized in the future.
   • CA detailed plan for the operational use of the final product.
   • DA summary of the project's risks and how they were managed.
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5. 24application · medium

   A project to implement a new customer service system is in the initiating a project process. The project manager has created an outline business case. What should the project manager do with this outline business case?

   • AUse it as the final business case for the project.
   • BReplace it with the project plan, as the plan provides more detail.
   • CSubmit it to the project board for approval without further development.
   • DDevelop it into a detailed business case during the initiating a project process.
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