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Better Business Cases Practitioner Exam Questions and Answers

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Question 1

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.

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Question 2

Which 2 statements should be recorded under the Potential for risk transfer heading?

Options:

A.

Teaching staff will automatically become employees at the new campus with the same terms and conditions of employment.

B.

The selected contractor will be responsible for taking measures to reduce any potential errors in the construction phase.

C.

All construction work is to comply with standard building regulations.

D.

The new campus building is to be listed as an asset on the Local Education Authority balance sheet.

E.

The Local Education Authority is best placed to respond to possible opposition from staff and parents.

Question 3

Answer the following questions about the content of the Commercial Case and the Financial Case for the Pittville project.

Which detail should be explained in the Commercial Case?

Options:

A.

How charges for the preferred service provider's offer have been modelled, including the resultant benefits.

B.

Capital and revenue implications of the resultant deal, including any costs falling to the organization.

C.

Net effect on the organization's charges (prices), if any.

D.

Service streams and outputs being contracted for.

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