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Question 295 - PRINCE2-7-Foundation discussion

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According to the 'continued business justification' principle, what should happen to the funds when a project can no longer be justified?

A.
They should be returned to corporate, programme management or customer
Answers
A.
They should be returned to corporate, programme management or customer
B.
They should be used to create an alternative business case for the project
Answers
B.
They should be used to create an alternative business case for the project
C.
They should be transferred back to the project board to reassign
Answers
C.
They should be transferred back to the project board to reassign
D.
They should be used to deliver a reduction in the scope of the project
Answers
D.
They should be used to deliver a reduction in the scope of the project
Suggested answer: A

Explanation:

According to the 'continued business justification' principle of PRINCE2, if a project can no longer be justified --- meaning it no longer meets its original or updated justification for a viable return on investment --- the funds allocated to it should be returned to corporate, programme management, or the customer. This ensures that resources are not wasted on unjustifiable projects.

Reference: = PRINCE2 7 Foundation handbook and online resources

asked 23/09/2024
rene laas
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