PRINCE2 Foundation — Question 231

Which PRINCE2 principle is being applied when tolerances are set to establish limits of authority and accountability?

Answer options

• A. Continued business justification
• B. Defined roles and responsibilities
• C. Manage by exception
• D. Manage by stages

Correct answer: C

Explanation

The correct answer is C, Manage by exception, which involves setting tolerances for project performance to allow for effective management without the need for constant oversight. The other options, while important principles, do not specifically relate to the concept of setting tolerances to define authority and accountability.