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Better Business Cases Practitioner Exam Questions and Answers

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Question 1

Pittville University insist that the business scope of the Pittville project should be based on the

development of a new campus on the site of the Old Fire Station Headquarters.

Is this an appropriate application of the Five Case Model for this project?

Options:

A.

No, because Pittville University should NOT be involved in the development of the Strategic Case.

B.

No, because the business scope should determine the affected business areas, functionality and organization.

C.

Yes, because the Old Fire Station Headquarters site has good access from most parts of Pittville.

D.

Yes, because the business scope of the Pittville project should be based on a short list of options.

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Question 2

Two of the options in the OBC have been revised, as shown in the table above.

Should Option B be ranked as the preferred option?

Options:

A.

No, because the benefits are greater for Option A.

B.

No, because the public sector test discount rate has been applied.

C.

Yes, because option B has positive liquidity.

D.

Yes, because Option B has the higher NPSV.

Question 3

The Central Government funding programme for the redevelopment of schools has been put on hold. A Review Board will decide

which programmes to continue. This funding programme covers 20% of the Pittville project costs. It is considered very likely that

the Western Area Learning Programme will be high priority due to the forecast enhanced provision of education courses for 16-18

year olds.

Should the funding profile in the Economic Case be updated?

Options:

A.

No, because the funding statement is provided in the Financial Case.

B.

No, because the Economic Case should have already quantified this funding risk.

C.

Yes, because alternative monies may be available to fund proposals that offer demonstrably better value for money.

D.

Yes, because scenario analysis should reflect the political uncertainties on which the success of the proposal depends.

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