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Project Management
Foundation VERSION 7

Sample
Paper 2
Question Booklet | Multiple Choice

Examination | 60 Minutes

Official Training Materials

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2 PRINCE2® Project Management Foundation | Sample Paper 2 | Copyright © PeopleCert International Limited
Sample Paper 2:

Question Booklet
Multiple Choice
Examination Duration: 1 hour

Instructions

1. You should attempt all 60 questions. Each question is worth one mark.

2. There is only one correct answer per question.

3. You need to answer 36 questions correctly to pass the exam.

4. Mark your answers on the answer sheet provided. Use a pencil (NOT pen).

5. You have 60 minutes to complete this exam.

6. This is a 'closed book' exam. No material other than the exam paper is allowed.

PRINCE2® Project Management Foundation | Sample Paper 2 | Copyright © PeopleCert International Limited 3
1. Which describes a delivery approach that creates the products in sequence?
A. Linear-sequential
B. Hybrid
C. Iterative-incremental
D. Event-driven

2. Which characteristic of a project relates to teams from different organizations working

together?
A. Cross-functional
B. Unique
C. Temporary
D. Change

3. Which principle is being applied when reviewing whether the project is still viable?
A. Ensure continued business justification
B. Learn from experience
C. Focus on products
D. Tailor to suit the project

4. An external IT company is being appointed to deliver a new accounting system as part of

a project.
Which principle is being applied when appointing the IT company to deliver this system?
A. Define roles, responsibilities, and relationships
B. Manage by stages
C. Manage by exception
D. Tailor to suit the project

5. What does the ‘manage by exception’ principle enable?

A. Decisions to be made by the right people, at the right time
B. The project to deliver benefits required by the business
C. The project team members to understand their contribution to the project
D. The project team members to define the scope to be delivered by the project

6. The project manager has agreed with the team manager that a work package can be
delivered up to one week later than shown on the team plan.
Which principle is being applied by the project manager?
A. Learn from experience
B. Define roles, responsibilities, and relationships
C. Manage by exception
D. Focus on products

4 PRINCE2® Project Management Foundation | Sample Paper 2 | Copyright © PeopleCert International Limited
7. The project manager has recommended that some of the management products for the
project should be combined.
In which management product should this be documented?
A. Project plan
B. Project initiation documentation
C. Stage plan
D. Business case

8. What is the definition of leadership?

A. Motivating people through the use of persuasion, influencing, and co-creating
B. Ensuring that the project is properly initiated before work starts on delivery
C. Enabling governance by delegating authority from one management level to the next
D. Keeping the project aligned with the benefits being sought by the business

9. Which term is used to define the process of people working together to achieve the
project’s objectives?
A. Collaboration
B. Plans
C. Change
D. Co-creation

10. What is a definition of a stakeholder?

A. An individual that can affect the project
B. Someone who owns an action to mitigate an uncertainty
C. Anyone with responsibility for the overall direction of the project
D. An independent person who assesses if a product meets its quality criteria

11. The project manager wants to confirm with the team members if they understand the
project’s objectives and work towards those objectives in an agreed way.
What is being applied by the project manager?

A. Quality control
B. Leadership
C. Management
D. Product based planning

12. Which statement about effective stakeholder engagement within a project is CORRECT?
A. Key influencers are usually senior executives rather than those undertaking
operational tasks
B. Key influencers with the greatest influence will remain the same over the lifecycle of
the project
C. Most communication with key influencers should occur through formal
communication channels
D. The project management team should engage closely with key influencers to ensure
project success

PRINCE2® Project Management Foundation | Sample Paper 2 | Copyright © PeopleCert International Limited 5
13. What should be considered when building an effective project team?
A. Whether team members need training to improve their skills and competencies
B. Ensuring the project manager is more senior than team members
C. Whether the communication management approach is likely to evolve during the
project lifecycle
D. Ensuring each team member is hand-picked by the project manager

14. What should be described in the change management approach?

A. The roles responsible for managing uncertainties for the delivery of the target state
B. How to assess the impact of a request for change on the agreed project timeline
C. The techniques that will be used to review whether products meet stakeholder
expectations
D. How the business will move from the current ways of working to the target state

15. Which principle is being applied by the 'people' element when the level of confidence and
trust determines the amount of delegation?
A. Manage by exception
B. Manage by stages
C. Focus on products
D. Tailor to suit the project

16. Which management product BEST provides the project team with a basis for the ongoing
management of the overall project?
A. Highlight report
B. Project plan
C. Project initiation documentation
D. Business case

17. What do the desired outcomes directly result in?

A. Achievement of the business objectives
B. Delivery of outputs to quality specifications to meet business objectives
C. Measurable improvements defined in the business case
D. A reduction in the business change costs defined in the business case

18. Which should provide confidence that there is a robust justification for undertaking a
project?
A. Project brief
B. Business case
C. Benefits management approach
D. Project plan

19. Which term is defined as the tangible or intangible deliverable of an activity?

A. Output
B. Outcome
C. Benefit
D. Plan

6 PRINCE2® Project Management Foundation | Sample Paper 2 | Copyright © PeopleCert International Limited
20. How are some of the seven aspects of project performance used when establishing
business justification?
A. By solely focusing on the costs of product development in the business case
compared with the benefits
B. By incorporating dis-benefits as major risks in the investment appraisal and balancing
them against the benefits
C. By understanding product quality requirements and their impact on time, cost,
benefits, or sustainability targets
D. By ensuring that the project products are fully used in operations to deliver the
benefits to the business

21. In which step of the business case management technique should the project mandate
be reviewed?
A. Develop
B. Check
C. Maintain
D. Confirm

22. Which principle is being applied by the organization practice when the project executive
ensures that decisions align to changing business needs?
A. Focus on products
B. Ensure continued business justification
C. Learn from experience
D. Manage by exception

23. A new department head wants to know which members of staff will be involved in the
project.
What should the department head review?
A. Project management team structure
B. Role descriptions
C. Project log
D. Communication management approach

24. Identify the missing word(s) in the following sentence:

PRINCE2 Project Management uses the term [?] to cover all people required to allocate
their time to the project.
A. Stakeholders
B. Users
C. Project team
D. Project support

25. Who is accountable for the success of the project?

A. Project board
B. Stakeholders
C. Business layer
D. Senior user

PRINCE2® Project Management Foundation | Sample Paper 2 | Copyright © PeopleCert International Limited 7
26. In which step should policies and procedures be considered in the organizational design
and development technique?
A. Understand the organizational ecosystem
B. Develop the project ecosystem
C. Design the project ecosystem
D. Transition the project into the organizational ecosystem

27. The project manager is defining products and responsibilities for delivering them with the
team.
Which practice is being applied?
A. Business case
B. Plans
C. Organization
D. Progress

28. The team manager needs to check what products should be delivered by his team.
Which management product should the team manager review?
A. Project product description
B. Work package description
C. Stage plan
D. Project plan

29. What is defined as a high-level plan showing the major products of the project?
A. A project plan
B. A stage plan
C. A team plan
D. A work package description

30. How should the project manager address the need to keep plans within a reasonable
planning horizon?
A. By preparing a complete and detailed project plan based on accurate estimates
B. By preparing a stage plan for the next stage based on more accurate estimates
C. By identifying all products in the project plan
D. By identifying interdependencies between major products in the stage plan

31. In which step of the planning technique should the project manager identify the
equipment needed to deliver the plan?
A. Preparing estimates
B. Defining and analysing products
C. Organizing work packages
D. Preparing a schedule

32. What is a description of the purpose of the ‘quality’ practice?

A. To define how the project's products will be tested to obtain their acceptance
B. To define how the project executive will decide whether the benefits exceed costs
C. To enable the project team to communicate effectively by defining how the products
will be delivered
D. To collect and assess off-specifications and control changes to the agreed project
scope

8 PRINCE2® Project Management Foundation | Sample Paper 2 | Copyright © PeopleCert International Limited
33. The project manager needs to check when an output is planned to be inspected.
Which management product should the project manager review?
A. Quality management approach
B. Product description
C. Product register
D. Quality register

34. Which describes quality specifications?

A. They are applied when inspecting a finished product
B. They are applied when accepting the project product
C. They are documented in the project product description
D. They are documented in the quality management approach

35. A building is being constructed as part of the project. The building needs to meet
environmental targets.
Which information should be recorded as part of quality planning?
A. The results of a review of the project product’s sustainability against the acceptance
criteria
B. The test results after testing the product's environmental requirements
C. The environmental requirements as the specifications in the product description
D. The post project reviews to measure the sustainability targets in the benefits
management approach

36. The project manager has prioritized the criteria that the project product must meet
before the user accepts it.
Where in the quality management technique should this prioritization happen?
A. Gathering user inputs
B. Accepting products
C. Describing the quality management approach
D. Controlling quality

37. Why should the risk practice be performed?

A. To enable the project board to decide whether the outcomes and resulting benefits
are likely to be achieved
B. To enable the project manager to predict whether the project will be delivered on time
and within budget
C. To identify the modifications to the current approved versions of the project products
D. To identify and manage opportunities that would positively affect achievement of the
project objectives

38. The PRINCE2 Project Management procedure needs to be tailored to ensure events that
are likely to affect the objectives are managed.
In which management product should this be documented?
A. Risk management approach
B. Risk register
C. Issue management approach
D. Issue register

PRINCE2® Project Management Foundation | Sample Paper 2 | Copyright © PeopleCert International Limited 9
39. Which term is defined as an uncertain event or set of events that, should it occur, will
have an effect on the achievement of objectives?
A. Risk
B. Off-specification
C. Request for change
D. Problem/concern

40. How does effective risk management enable understanding of the overall risk exposure
for a project?
A. By positioning risks, in relation to the risk tolerance line, on a summary risk profile
B. By identifying different types of sustainability risks
C. By planning responses for each risk
D. By establishing a risk budget to fund management responses to risks

41. The project manager needs to review the project brief to decide who will be responsible
for each step in the risk management technique.
In which step of the risk management technique should this occur?
A. Identify
B. Communicate
C. Assess
D. Plan

42. The senior user is concerned that the scope of the project needs to be changed.
When should the senior user raise this issue?
A. As soon as the issue has been identified
B. At the next scheduled formal project meeting
C. At the next scheduled meeting of project board members
D. As the stage end approaches

43. The project manager wants to review the status of unplanned events that are being
considered by the project management team.
Which management product should the project manager review?
A. Issue register
B. Issue report
C. Risk register
D. Product register

44. What is the definition of a request for change?

A. A proposal for a change to a baseline
B. Something that should be provided but has not been provided
C. An uncertain event which may affect objectives
D. The current versions of project products that are subject to change control

10 PRINCE2® Project Management Foundation | Sample Paper 2 | Copyright © PeopleCert International Limited
45. The project board has delegated significant change authority to several roles in the
project management team.
What negative effect could directly result from this?
A. Most changes to product descriptions may be generated by team members
B. The actual and authorized status of products recorded in the product register may not
agree
C. The project board may be slow to make decisions, delaying delivery progress
D. The project scope may become less aligned to the business case

46. The project manager needs to consider the impact of an issue on the benefits and costs.
In which step of the issue management technique should this occur?
A. Assessing issues
B. Capturing issues
C. Deciding on changes
D. Implementing changes

47. Which statement BEST describes where progress should be monitored?

A. At stage boundaries at the end of each stage
B. At the project, stage, and work package level
C. At the product delivery level
D. At project closure when project costs are being calculated

48. The project manager needs to inform the project board of what approved products are
outstanding before the project board approves further work.
In which management product should the project manager record this information?
A. Checkpoint report
B. Highlight report
C. End stage report
D. End project report

49. Identify the missing word in the following sentence:

The business layer, outside the project team, sets the overall requirements and [?] levels
for the project.
A. Tolerance
B. Issue
C. Forecast
D. Risk

50. The project mandate set a firm date for the delivery of the project. It has now been
agreed that the project can be delayed by up to 4 weeks.
Which level of management should agree this?
A. Project board
B. Project manager
C. Business layer
D. Team manager

PRINCE2® Project Management Foundation | Sample Paper 2 | Copyright © PeopleCert International Limited 11
51. What action may be taken by a project manager when an issue causes one of the stage
tolerances to be exceeded?
A. Accept or reject the recommendation from the exception report
B. Resolve the issue, if possible, using other project tolerances and include in the next
highlight report
C. Escalate to the business layer for advice and direction to implement the exception
report
D. Resolve the issue, if possible, using other stage tolerances and include in the next
highlight report

52. Which is a description of a purpose of the ‘initiating a project’ process?

A. To define how long it will take for the project to deliver what is required to gain
acceptance
B. To enable control between the project manager and team managers
C. To review, at a high level, whether the project will add value to an organization
D. To assess whether a project has been delivered on time and that it has nothing more
to contribute

53. The team manager has to agree what products need to be produced, and when.
In which process should this be agreed?
A. Managing product delivery
B. Directing a project
C. Managing a stage boundary
D. Controlling a stage

54. In which process is the work undertaken to assess if project objectives have been
achieved as stated in project initiation documentation have been achieved?
A. Closing a project
B. Controlling a stage
C. Managing product delivery
D. Managing a stage boundary

55. Which TWO are objectives of the starting up a project process?

1. To define the scope of the project to enable it to be initiated
2. To authorize the work to deliver the project product
3. To understand what quality techniques will be applied in the project
4. To assess the alternative ways of delivering the project
A. 1 and 2
B. 2 and 3
C. 3 and 4
D. 1 and 4

12 PRINCE2® Project Management Foundation | Sample Paper 2 | Copyright © PeopleCert International Limited
56. Which TWO activities support the objectives of the directing a project process?
1. Authorize that the project team should be disbanded as work is complete
2. Review plans to measure the benefits after the project has closed
3. Check that the products can be supported by operations after the project is closed
4. Verify that the users’ requirements have been met
A. 1 and 2
B. 2 and 3
C. 3 and 4
D. 1 and 4

57. Which TWO are objectives of the controlling a stage process?

1. To respond to risks and issues as they are raised
2. To plan the detailed activities for the next stage of the project
3. To define the controls for the project
4. To continually assess the business justification
A. 1 and 2
B. 2 and 3
C. 3 and 4
D. 1 and 4

58. During the managing a stage boundary process, when should the project manager replan
the rest of the stage?
A. After receiving the project board’s request to prepare an exception plan
B. After receiving informal advice from the project board in response to a highlight
report during the stage
C. After requesting the project board to approve an exception plan for the stage
D. After requesting the project board to approve a change to the project team delivering
the stage’s products

59. Which describes how the controlling a stage process may be used?
A. It could be used by the project manager to monitor the initiation stage of a large
project
B. It could be omitted if the team manager role is being fulfilled by the project manager
C. It could be merged with the managing a stage boundary process if appropriate
D. It could be omitted if the team managers are internal to the business

60. Which describes a project characteristic that drives the need for the closing a project
process?
A. A project should hand over the desired change to business as usual
B. A project is delivered using a new project team
C. A project uses resources from different departments
D. A project deals with higher levels of uncertainty

PRINCE2® Project Management Foundation | Sample Paper 2 | Copyright © PeopleCert International Limited 13
Notes

14 PRINCE2® Project Management Foundation | Sample Paper 2 | Copyright © PeopleCert International Limited
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