CompTIA Project+ (PK0-005)Project Life Cycle PhasesMedium
A sponsor asks the project manager to prepare a document that compares the costs, benefits, and risks of undertaking a proposed initiative versus not doing it, in order to justify the investment. Which document should the project manager prepare?
- AProject charter
- BStakeholder register
- CBusiness case
- DScope statement
Show answer & explanationAnswer & explanation
Correct answer: C. Business case
The business case justifies the investment by weighing costs, benefits, and risks, and is used to decide whether the project should proceed. The charter formally authorizes the project once approved, the scope statement defines boundaries, and the stakeholder register lists stakeholders.
Why the other options are wrong
- A. The charter authorizes an already-justified project; it doesn't justify the investment itself.
- B. The stakeholder register lists stakeholders, not financial justification.
- D. The scope statement defines what is and isn't included, not investment justification.
Business Case
A document that justifies a project's investment by comparing costs, benefits, and risks of proceeding versus not proceeding.
- Created during initiation, before the charter
- Supports the go/no-go investment decision
- Feeds into the project charter once approved
Memory trick: Business case = the 'why should we spend money' pitch