Project Management Professional (PMP) — Question 117

At the end of a project's initiation phase, the budget was developed and sent to the approval board. During the approval meeting, one of the key stakeholders asked how the budget was developed for future uncertainties.

How should the project manager reply?

Answer options

• A. Probabilistic analysis was used to develop the budget to address future uncertainties.
• B. The budget was developed by using the lessons learned from previous project data.
• C. Recurrent team meetings are planned to control the budget against future uncertainties.
• D. Feedback from stakeholders will be addressed at each board meeting to adapt the budget.

Correct answer: A

Explanation

The correct answer, A, indicates that the budget was created using probabilistic analysis, which is a valid method for anticipating uncertainties. Options B, C, and D do not directly address the development of the budget in relation to future uncertainties, making them less relevant in this context.