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  3. PRINCE2 Foundation

PRINCE2 PRINCE2 Foundation Exam (page: 8)
PRINCE2 Foundation 7 Edition
Updated on: 25-Dec-2025

Viewing Page 8 of 94
PRINCE2 Foundation PDF 463 Questions

Which of the following statements about the Project Initiation Documentation are true?

1. The Project Initiation Documentation is used to ensure that a sound basis exists before the Project Board authorizes a project.

2. The Project Initiation Documentation should be updated at the end of each stage to reflect the current status of a project.

  1. Only 1 is true
  2. Only 2 is true
  3. Both 1 and 2 are true
  4. Neither 1 or 2 are true

Answer(s): C

Explanation:

Both statements about the Project Initiation Documentation (PID) are correct. The PID is essential for establishing a solid foundation for the project, ensuring that all stakeholders agree on the project's objectives and how it will be managed before the Project Board authorizes it. Additionally, the PID should be updated at the end of each stage to reflect the current status of the project, ensuring that it continues to meet the project's requirements and objectives.


Reference:

PRINCE2® Foundation official documentation and study materials.



Which is an objective of the Initiating a Project process?

  1. Develop the corporate quality management system as part of the Project Initiation Documentation
  2. Prepare the plans for the subsequent stages
  3. Summarize how the organization's project management method will be tailored for the project
  4. Request authority from corporate management to deliver the project

Answer(s): C

Explanation:

One of the key objectives of the Initiating a Project process is to tailor the organization's project management method to suit the specific requirements of the project. This involves adapting processes, controls, roles, responsibilities, and techniques to ensure they are appropriate for the project's context.


Reference:

PRINCE2® Foundation official documentation and study materials.



Which is NOT a purpose of the Initiating a Project process?

  1. Enable a Project Board decision about the commitment of resources to a project
  2. Enable an organization to understand the work that needs to be done to deliver a project's products before a project is approved
  3. Establish solid foundations for a project
  4. Enable the Project Board to decide whether it is worthwhile to initiate a project

Answer(s): D

Explanation:

This statement is not true as the purpose of the Initiating a Project process. The correct purpose of this process is to ensure that there are solid foundations for the project, usually after the project has already been decided as worthwhile and approved for initiation. The decision to initiate a project is typically made before the Initiating a Project process.


Reference:

PRINCE2® Foundation official documentation and study materials.



Which plan provides the Business Case with costs during the Initiating a Project process?

  1. Initiation Stage Plan
  2. Project Plan
  3. Stage Plan
  4. Team Plan

Answer(s): B

Explanation:

During the Initiating a Project process in PRINCE2, the Project Plan provides the Business Case with necessary details, including cost estimates. This plan outlines the overall scope and timing of the project and sets the baseline for project management activities, including cost control.


Reference:

PRINCE2 Foundation manual, PRINCE2 official resources



Which is the base product against which the Project Board can assess progress, issues and ongoing viability questions?

  1. Project Brief
  2. Project Initiation Documentation
  3. Project mandate
  4. Benefits Review Plan

Answer(s): B

Explanation:

The Project Initiation Documentation (PID) is the base product against which the Project Board can assess progress, issues, and ongoing viability questions in PRINCE2. The PID includes key documents such as the Business Case, the Project Plan, and risk management information, providing a comprehensive reference for governance decisions throughout the project.


Reference:

PRINCE2

Foundation manual, PRINCE2 official resources



Viewing Page 8 of 94



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