PRINCE2 Agile Foundation — Question 5

Which statement explains the setting of the cost tolerance for a project in an agile context?

Answer options

• A. Cost tolerance is flexed
• B. Cost tolerance can be fixed or flexed
• C. Cost tolerance can be fixed and flexed
• D. Cost tolerance is fixed

Correct answer: A

Explanation

The correct answer is A because in an agile context, cost tolerance is typically adjustable to accommodate changes in project scope and requirements. The other options suggest varying degrees of rigidity in cost tolerance that do not align with the agile principle of flexibility.