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Exam PRINCE2-Practitioner Edition 6 All Questions

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Exam PRINCE2-Practitioner topic 21 question 46 discussion

Actual exam question from PRINCE2's PRINCE2-Practitioner Edition 6
Question #: 46
Topic #: 21
[All PRINCE2-Practitioner Edition 6 Questions]

During the initiation stage, the executive decided to appoint a change authority because a large number of small changes were expected. The executive wanted to restrict the cost of any single change that the change authority will be allowed to authorize. As a result, the change authority will only be allowed to authorize requests for change that require no more than 2 days of effort with the associated cost.
Is this an appropriate action, and why?

  • A. Yes, because there are typically limits for any single change applied within the change budget
  • B. Yes, because the change budget should be agreed when setting up the project controls
  • C. No, because it is the project board that is responsible for approving requests for change
  • D. No, because cost tolerance should be used to fund work that costs a small amount more than expected
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Suggested Answer: B 🗳️
by ravi_aws at Oct. 8, 2023, 3:13 p.m.

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ravi_aws
1 year, 1 month ago
In PRINCE2, it is appropriate for the executive to place limits on the authority of the change authority when it is set up. This helps control the change budget. Applying a limit that the change authority can only authorize changes up to 2 days effort/associated cost is a reasonable control. B is incorrect as the change budget overall is separate from change limits. C is incorrect as the project board can delegate authority to the change authority. D is incorrect as cost tolerance is not for funding small changes. Therefore, A is the best answer - setting a change limit is appropriate when establishing the change authority to stay within the overall change budget.
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