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Question 1 of 30
1. Question
Which one of the following budgets should be used to fund the identification and analysis of individual risks?
Correct
The project budget is used to fund the identification and analysis of risks. The risk budget is only used to fund specific management responses to risks. The project management team may decide to set aside some of the project budgets to fund various risk responses. This is called a risk budget. The money might be reserved for dealing with a particular set of named risks, or it might be a more general fund.
Incorrect
The project budget is used to fund the identification and analysis of risks. The risk budget is only used to fund specific management responses to risks. The project management team may decide to set aside some of the project budgets to fund various risk responses. This is called a risk budget. The money might be reserved for dealing with a particular set of named risks, or it might be a more general fund.
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Question 2 of 30
2. Question
Which of the following PRINCE2 processes provides authority to close the project?
Correct
Although the project manager prepares the end project report and ensures that the project’s products have been accepted in the closing a project process, the project is authorized to close during the directing a project process. The project board reviews the end project report when considering whether to authorize the closure of the project in the directing a project process.
Incorrect
Although the project manager prepares the end project report and ensures that the project’s products have been accepted in the closing a project process, the project is authorized to close during the directing a project process. The project board reviews the end project report when considering whether to authorize the closure of the project in the directing a project process.
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Question 3 of 30
3. Question
Which of the following is an objective of the starting up a project process?
Correct
During the starting up a project process, the stage plan for the initiation stage is created. The project board’s first decision is called authorize initiation. The project board reviews the project brief to see whether the project is a worthwhile and viable initiative. If they think it is, they then review the stage plan for the initiation stage to see what would be involved in planning this project. If they decide that the resources requested for the initiation (planning) stage are reasonable, they authorize the project manager to proceed.
Incorrect
During the starting up a project process, the stage plan for the initiation stage is created. The project board’s first decision is called authorize initiation. The project board reviews the project brief to see whether the project is a worthwhile and viable initiative. If they think it is, they then review the stage plan for the initiation stage to see what would be involved in planning this project. If they decide that the resources requested for the initiation (planning) stage are reasonable, they authorize the project manager to proceed.
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Question 4 of 30
4. Question
Which one of the following is not true of project support?
Correct
Project assurance, not project support, is responsible for monitoring the management of the project. The project support role is the responsibility of the project manager. The project manager can delegate the work of project support to a separate person or people. If no one is available to delegate project support activities to, the project manager will need to carry them out himself.
Incorrect
Project assurance, not project support, is responsible for monitoring the management of the project. The project support role is the responsibility of the project manager. The project manager can delegate the work of project support to a separate person or people. If no one is available to delegate project support activities to, the project manager will need to carry them out himself.
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Question 5 of 30
5. Question
Which of the quality review technique roles coordinates and tracks work to correct a product following a review?
Correct
The presenter is responsible for ensuring that any remedial work necessary to correct a product following a quality review meeting is carried out. A presenter is then appointed, who will represent the producer of the product under review. The presenter sends the product and its product description to a number of reviewers, who will carry out a quality inspection on the product to see whether it complies with its product description. If the reviewers spot any small grammatical or typing errors, they can write directly on the document. If the reviewers spot any larger errors, they start creating a question list for the presenter.
Incorrect
The presenter is responsible for ensuring that any remedial work necessary to correct a product following a quality review meeting is carried out. A presenter is then appointed, who will represent the producer of the product under review. The presenter sends the product and its product description to a number of reviewers, who will carry out a quality inspection on the product to see whether it complies with its product description. If the reviewers spot any small grammatical or typing errors, they can write directly on the document. If the reviewers spot any larger errors, they start creating a question list for the presenter.
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Question 6 of 30
6. Question
Which plan might be created at the same time that the project manager is creating a stage plan?
Correct
When the project manager is creating a stage plan, he may ask the teams involved with that stage to create team plans for their work. He can then use the information in the team plans for the stage plan. The team or team manager may create a team plan during the managing product delivery process, which they can then use to track and monitor their work. The team plan is optional, however, as the stage plan alone may provide enough detail for the team.
Incorrect
When the project manager is creating a stage plan, he may ask the teams involved with that stage to create team plans for their work. He can then use the information in the team plans for the stage plan. The team or team manager may create a team plan during the managing product delivery process, which they can then use to track and monitor their work. The team plan is optional, however, as the stage plan alone may provide enough detail for the team.
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Question 7 of 30
7. Question
Which of the following statements does not describe an activity in the assess step of the risk management procedure?
Correct
The assess step of the risk management procedure includes two activities. The first activity is estimating the probability, likelihood, and proximity of individual risks— options B and C fit into this category. The second activity is evaluating the overall exposure of the project to risk—option A fits into this category. Option D is incorrect—reviewing the corporate risk management procedures to determine whether any should be included in the project’s risk management approach would be done in the identify context step of the risk management procedure.
Incorrect
The assess step of the risk management procedure includes two activities. The first activity is estimating the probability, likelihood, and proximity of individual risks— options B and C fit into this category. The second activity is evaluating the overall exposure of the project to risk—option A fits into this category. Option D is incorrect—reviewing the corporate risk management procedures to determine whether any should be included in the project’s risk management approach would be done in the identify context step of the risk management procedure.
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Question 8 of 30
8. Question
Which of the following is not an example of a follow-on action recommendation that might be made during the closing a project process?
Correct
Follow-on action recommendations relate to activities that will take place after the close of the project, so option C is incorrect. The project manager passes on details of any relevant operational risks to the group that will maintain the products in their operational life. These risks are passed on as follow-on action recommendations during the closing a project process.
Incorrect
Follow-on action recommendations relate to activities that will take place after the close of the project, so option C is incorrect. The project manager passes on details of any relevant operational risks to the group that will maintain the products in their operational life. These risks are passed on as follow-on action recommendations during the closing a project process.
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Question 9 of 30
9. Question
In a three-stage project, when should the managing a stage boundary not be undertaken?
Correct
The managing a stage boundary process is not used at the end of the final stage. Managing a stage boundary covers the work of the project manager at the end of a major part or stage of the project. It involves activities such as reporting on the achievements in the last stage and detailed planning for the next stage.
Incorrect
The managing a stage boundary process is not used at the end of the final stage. Managing a stage boundary covers the work of the project manager at the end of a major part or stage of the project. It involves activities such as reporting on the achievements in the last stage and detailed planning for the next stage.
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Question 10 of 30
10. Question
Which role applies the activities of the managing product delivery process?
Correct
The team manager uses the activities of the managing product delivery process to manage the delivery of the specialist products. Managing product delivery covers the day-to-day work of the people creating products in the project. The activities detail accepting work, creating it, reporting progress, and delivering work.
Incorrect
The team manager uses the activities of the managing product delivery process to manage the delivery of the specialist products. Managing product delivery covers the day-to-day work of the people creating products in the project. The activities detail accepting work, creating it, reporting progress, and delivering work.
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Question 11 of 30
11. Question
Which process is invoked from the controlling a stage process toward the end of the final stage?
Correct
The project manager uses the closing a project process toward the end of the last stage to prepare information that the project board will review when deciding whether to authorize the closure of the project. It involves work such as preparing the end project report, handing the products to the operational teams, and archiving project documents.
Incorrect
The project manager uses the closing a project process toward the end of the last stage to prepare information that the project board will review when deciding whether to authorize the closure of the project. It involves work such as preparing the end project report, handing the products to the operational teams, and archiving project documents.
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Question 12 of 30
12. Question
Which product is sometimes known as the project manager’s diary?
Correct
The daily log is sometimes referred to as the project manager’s diary. The project manager uses the daily log to record informal issues, events, and personal actions that are not captured by the other PRINCE2 registers and logs. It also acts as a temporary repository of issues and risks in the starting up a project process, until the risk register and the issue register are created in the initiation stage.
Incorrect
The daily log is sometimes referred to as the project manager’s diary. The project manager uses the daily log to record informal issues, events, and personal actions that are not captured by the other PRINCE2 registers and logs. It also acts as a temporary repository of issues and risks in the starting up a project process, until the risk register and the issue register are created in the initiation stage.
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Question 13 of 30
13. Question
Which of the following roles represents the business interest on the project?
Correct
The executive represents the business interests on the project, making sure that the project is capable of delivering its forecast benefits and is delivering value for money. Unlike the senior supplier and the senior user roles, only one person can carry out the executive role. The executive is focused on whether the project is providing good value for the money invested, whether the products of the project meet a business need that justifies the investment in the project, and whether an adequate return on the project’s investment will be achieved.
Incorrect
The executive represents the business interests on the project, making sure that the project is capable of delivering its forecast benefits and is delivering value for money. Unlike the senior supplier and the senior user roles, only one person can carry out the executive role. The executive is focused on whether the project is providing good value for the money invested, whether the products of the project meet a business need that justifies the investment in the project, and whether an adequate return on the project’s investment will be achieved.
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Question 14 of 30
14. Question
Which process captures issues and analyzes their impact on the project?
Correct
The project manager captures and examines issues in the controlling a stage process. The purpose of the controlling a stage process is for the project manager to assign work to be done, to monitor such work, to deal with issues, to report progress to the project board, and to take corrective actions to ensure that the stage remains within tolerance.
Incorrect
The project manager captures and examines issues in the controlling a stage process. The purpose of the controlling a stage process is for the project manager to assign work to be done, to monitor such work, to deal with issues, to report progress to the project board, and to take corrective actions to ensure that the stage remains within tolerance.
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Question 15 of 30
15. Question
Which of the following is an objective of the managing product delivery process?
Correct
The managing product delivery process describes how the team should report progress regularly to the project manager using checkpoint reports. Option A is an objective of the controlling a stage process. Option B is an objective of the managing a stage boundary process. Option C is an objective of the directing a project process.
Incorrect
The managing product delivery process describes how the team should report progress regularly to the project manager using checkpoint reports. Option A is an objective of the controlling a stage process. Option B is an objective of the managing a stage boundary process. Option C is an objective of the directing a project process.
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Question 16 of 30
16. Question
Which is an objective of the managing a stage boundary process?
Correct
The project manager creates a lessons report in the managing a stage boundary process. Option B is incorrect—the project approach, which describes the evaluation of various ways to deliver the project, is created during the starting up a project process. Option C is incorrect—the controlling a stage process is used to delegate work packages to the teams. Option D is incorrect—the managing product delivery process is used to deliver each stage’s products.
Incorrect
The project manager creates a lessons report in the managing a stage boundary process. Option B is incorrect—the project approach, which describes the evaluation of various ways to deliver the project, is created during the starting up a project process. Option C is incorrect—the controlling a stage process is used to delegate work packages to the teams. Option D is incorrect—the managing product delivery process is used to deliver each stage’s products.
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Question 17 of 30
17. Question
Which of the following statements describes a risk actionee?
Correct
Each risk might be assigned to one or more risk actionees to carry out a particular risk response action. Option B is incorrect—this statement refers to a risk owner. Option C is incorrect—the executive is responsible for the project’s risk management approach. Option D is incorrect—the project manager is responsible for identifying, assessing and controlling project risks.
Incorrect
Each risk might be assigned to one or more risk actionees to carry out a particular risk response action. Option B is incorrect—this statement refers to a risk owner. Option C is incorrect—the executive is responsible for the project’s risk management approach. Option D is incorrect—the project manager is responsible for identifying, assessing and controlling project risks.
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Question 18 of 30
18. Question
Which response to a risk would be implemented only if the threat occurs?
Correct
The prepare contingent plans response creates a plan to do something if and only if the risk actually occurs. Preparing a contingent plan is a reactive response. The project management team could wait for the threat to occur and then carry out a previously planned action. In the example, if it snows, they could book the construction workers into a nearby hotel so that they won’t find it difficult to get to work.
Incorrect
The prepare contingent plans response creates a plan to do something if and only if the risk actually occurs. Preparing a contingent plan is a reactive response. The project management team could wait for the threat to occur and then carry out a previously planned action. In the example, if it snows, they could book the construction workers into a nearby hotel so that they won’t find it difficult to get to work.
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Question 19 of 30
19. Question
Which of the following is not a purpose of the organization theme?
Correct
Facilitating communication by defining the means of delivering the products is a purpose of the plans theme. The organization theme is applied when the project manager carries out his responsibilities to close the project on behalf of the project board.
Incorrect
Facilitating communication by defining the means of delivering the products is a purpose of the plans theme. The organization theme is applied when the project manager carries out his responsibilities to close the project on behalf of the project board.
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Question 20 of 30
20. Question
Which of the following is a purpose of the directing a project process?
Correct
Most of the directing a project activities are focused on making key project decisions, such as whether the project should start, move to the next stage, or finish. In the directing a project process, the project board reviews the project brief and stage plan for the initiation stage. They use these documents to decide whether to authorize the initiative to continue.
Incorrect
Most of the directing a project activities are focused on making key project decisions, such as whether the project should start, move to the next stage, or finish. In the directing a project process, the project board reviews the project brief and stage plan for the initiation stage. They use these documents to decide whether to authorize the initiative to continue.
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Question 21 of 30
21. Question
The purpose of which of the following process is to gain an understanding of the work to deliver the project’s products before committing a significant sum of money.
Correct
During the initiating a project process, the project plan is created; this plan describes the work and resources needed to deliver the project’s products. The project board can then use this information before deciding whether to authorize the project.
Incorrect
During the initiating a project process, the project plan is created; this plan describes the work and resources needed to deliver the project’s products. The project board can then use this information before deciding whether to authorize the project.
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Question 22 of 30
22. Question
Which PRINCE2 process prevents poorly conceived projects from being initiated?
Correct
During the starting up a project process, the project management team reviews the project idea and decides whether it is viable and worthwhile. If the idea is not a good one, the output from the starting up a project process should be a recommendation to not move ahead with the project.
Incorrect
During the starting up a project process, the project management team reviews the project idea and decides whether it is viable and worthwhile. If the idea is not a good one, the output from the starting up a project process should be a recommendation to not move ahead with the project.
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Question 23 of 30
23. Question
Which theme ensures that there is an effective strategy to manage communication flows to and from stakeholders?
Correct
The organization theme describes the communication management approach that defines how the project will manage communication. The organization theme ensures that everyone involved in the project—at the decision, management, and delivery levels—understands what is expected of them. It also ensures that all the roles necessary for a project to be successful are covered.
Incorrect
The organization theme describes the communication management approach that defines how the project will manage communication. The organization theme ensures that everyone involved in the project—at the decision, management, and delivery levels—understands what is expected of them. It also ensures that all the roles necessary for a project to be successful are covered.
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Question 24 of 30
24. Question
Which of the following is a reason that PRINCE2 provides three levels of plans?
Correct
All aspects of planning become more difficult the further into the future the plan extends. This is known as the planning horizon problem. PRINCE2 provides three levels of plans at different levels of detail and scope to help overcome this problem.
Incorrect
All aspects of planning become more difficult the further into the future the plan extends. This is known as the planning horizon problem. PRINCE2 provides three levels of plans at different levels of detail and scope to help overcome this problem.
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Question 25 of 30
25. Question
An uncertain event that could have a favorable impact on the project is known as which of the following?
Correct
An opportunity is a type of risk, which is an uncertain event that could have a favorable impact on the project. There are a number of recommended responses to an opportunity, including exploiting the opportunity so it definitely occurs; enhance the opportunity so it is more likely to happen or its favorable impacts are increased; prepare a contingent plan to increase the impact of the opportunity should it arise; or transfer an opportunity or accept the opportunity, making a conscious decision not to pursue it. In some situations, a risk can turn out to be a threat or an opportunity.
Incorrect
An opportunity is a type of risk, which is an uncertain event that could have a favorable impact on the project. There are a number of recommended responses to an opportunity, including exploiting the opportunity so it definitely occurs; enhance the opportunity so it is more likely to happen or its favorable impacts are increased; prepare a contingent plan to increase the impact of the opportunity should it arise; or transfer an opportunity or accept the opportunity, making a conscious decision not to pursue it. In some situations, a risk can turn out to be a threat or an opportunity.
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Question 26 of 30
26. Question
Which of the following PRINCE2 principles does the business case theme primarily help to implement?
Correct
The business case theme describes how to document the justification for the project in the business case. Before each major decision on the project, the business case is updated. This updated business case is then used to check whether there is still justification for the project before making each project decision.
Incorrect
The business case theme describes how to document the justification for the project in the business case. Before each major decision on the project, the business case is updated. This updated business case is then used to check whether there is still justification for the project before making each project decision.
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Question 27 of 30
27. Question
If the project or stage requires re-planning due to an exception situation, which process may be invoked?
Correct
If the project manager forecasts that stage or project tolerances will be breached, the project board might request that the current stage or the entire project be re-planned. As a result of this request, the project manager will use the managing a stage boundary process to create an exception plan.
Incorrect
If the project manager forecasts that stage or project tolerances will be breached, the project board might request that the current stage or the entire project be re-planned. As a result of this request, the project manager will use the managing a stage boundary process to create an exception plan.
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Question 28 of 30
28. Question
Which of the following is a purpose of the managing product delivery process?
Correct
Option A is correct—during the managing product delivery process, the team manager coordinates an area of work to deliver one or more of the project’s products. Option B is a purpose of the controlling a stage process. Option C is a purpose of the managing a stage boundary process. Option D is a purpose of the closing a project process.
Incorrect
Option A is correct—during the managing product delivery process, the team manager coordinates an area of work to deliver one or more of the project’s products. Option B is a purpose of the controlling a stage process. Option C is a purpose of the managing a stage boundary process. Option D is a purpose of the closing a project process.
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Question 29 of 30
29. Question
Which of the following is a purpose of the controlling a stage process?
Correct
During the controlling a stage process, the project manager monitors the progress of the work of the teams and deals with any issues. Option A is a purpose of the directing a project process. Option B is a purpose of the starting up a project process. Option D is a purpose of the managing a stage boundary process.
Incorrect
During the controlling a stage process, the project manager monitors the progress of the work of the teams and deals with any issues. Option A is a purpose of the directing a project process. Option B is a purpose of the starting up a project process. Option D is a purpose of the managing a stage boundary process.
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Question 30 of 30
30. Question
Which management product is used to document project-level risk tolerances?
Correct
The risk management approach is used to document the project-level risk tolerance. Stage-level and work package–level risk tolerances could be documented in stage plans and work packages, respectively. The risk management approach outlines how the project management team will approach managing threats and opportunities throughout the project. It shows how the project will be managed in a way that decreases the likelihood and/or impact of threats and increases the likelihood and/or impact of opportunities.
Incorrect
The risk management approach is used to document the project-level risk tolerance. Stage-level and work package–level risk tolerances could be documented in stage plans and work packages, respectively. The risk management approach outlines how the project management team will approach managing threats and opportunities throughout the project. It shows how the project will be managed in a way that decreases the likelihood and/or impact of threats and increases the likelihood and/or impact of opportunities.