Question bank
Better Business Cases™ Practitioner
42 Better Business Cases™ Practitioner questions with the correct answer and a written explanation, organised across 4 exam domains.
- 42 questions
- 4 domains
- Foundation level
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Jump straight to any question. Answers and explanations are inline.
Application of the Five Case Model
11 questions in this domain
- Question 1Single Choice
Which body originally mandated the Five Case Model for UK public sector investments?
- AHM TreasuryCorrect answer
- BAPMG International
- CThe Cabinet Office
- DThe National Audit Office
Why this is the answer
The document states the Five Case Model was originally mandated by HM Treasury for UK public sector investments.
- Question 2Multiple Select
Which two of the following are always required in the Economic Case options framework?
- ADo nothingCorrect answer
- BDo minimumCorrect answer
- CPreferred option
- DMaximum option
Why this is the answer
The Economic Case must include at least a 'do nothing' or 'do minimum' option as a baseline.
- Question 3Interactive
Based on the options table, which case is most simplified for a small internal project?
- ACommercial CaseCorrect answer
- BEconomic Case
- CStrategic Case
- DManagement Case
Why this is the answer
For a small internal project, the Commercial Case is minimal, often just a statement of in-house resources.
- Question 4Single Choice
What is the first formal business case document in the investment lifecycle?
- AStrategic Outline Case (SOC)Correct answer
- BOutline Business Case (OBC)
- CFull Business Case (FBC)
- DBenefits Realisation Review
Why this is the answer
The SOC is the first formal business case document, establishing strategic context and long-list of options.
- Question 5Multiple Select
Which two stages of the investment lifecycle require the development of a business case?
- AOutline Business Case (OBC)Correct answer
- BFull Business Case (FBC)Correct answer
- CBenefits Realisation Review
- DPost-implementation
Why this is the answer
The three primary stages are SOC, OBC, and FBC; both OBC and FBC are business case documents.
- Question 6Interactive
Using the code snippet, which metric indicates a project adds value after discounting?
- ANet Present Value (NPV)Correct answer
- BInternal Rate of Return (IRR)
- CPayback Period
- DBenefit-Cost Ratio (BCR)
Why this is the answer
A positive NPV indicates the project generates more value than its cost after discounting future cash flows.
- Question 7Single Choice
What does optimism bias correction primarily address in financial modelling?
- ASystematic over-optimism in cost and benefit estimatesCorrect answer
- BInaccurate discount rate selection
- CUnderestimation of risk contingency
- DDouble-counting of benefits
Why this is the answer
Optimism bias addresses the systematic tendency to understate costs and overstate benefits.
- Question 8Multiple Select
Which two techniques are classified as appraisal methods in the Economic Case?
- ACost-Benefit Analysis (CBA)Correct answer
- BCost-Effectiveness Analysis (CEA)Correct answer
- CMonte Carlo Simulation
- DSensitivity Analysis
Why this is the answer
CBA and CEA are two primary appraisal techniques; Monte Carlo and sensitivity are risk/uncertainty tools.
- Question 9Interactive
Refer to the process flow. What is the first step after confirming strategic need in options analysis?
- ADevelop a longlistCorrect answer
- BScreen to a shortlist
- CApply appraisal techniques
- DConduct sensitivity analysis
Why this is the answer
The process flow: 1. Establish strategic need, 2. Develop a longlist of options, then screen.
- Question 10Single Choice
Who is accountable for presenting the business case at each investment decision gateway?
- ASenior Responsible Owner (SRO)Correct answer
- BProject Manager
- CProgramme Manager
- DFinance Director
Why this is the answer
The SRO owns the business case and is accountable for presenting it at decision gateways.
- Question 11Multiple Select
Which two types of analysis are recommended for risk adjustment in financial modeling?
- AExpected Monetary Value (EMV)Correct answer
- BMonte Carlo simulationCorrect answer
- CNet Present Value (NPV)
- DSensitivity analysis
Why this is the answer
EMV (Probability * Impact) and Monte Carlo simulation are used for risk adjustment; NPV and sensitivity are not risk adjustment techniques.
Benefits Management and Realization
6 questions in this domain
- Question 12Single Choice
According to the Better Business Cases framework, which statement best defines a benefit?
- AA measurable improvement resulting from an outcome that is perceived as advantageous by the investing organizationCorrect answer
- BAny output delivered by a project that saves time or money
- CA positive risk that has been quantified in monetary terms
- DA stakeholder's subjective opinion about the value of a project deliverable
Why this is the answer
The BBC defines a benefit as a measurable improvement resulting from an outcome perceived as advantageous by the investing organization. Benefits are not outputs, risks, or subjective opinions.
- Question 13Multiple Select
Which of the following are examples of tangible benefits? (Select all that apply.)
- AReduced error rate from 5% to 2%Correct answer
- BImproved brand reputation
- CIncrease in customer satisfaction score from 72 to 79Correct answer
- DEnhanced employee morale
Why this is the answer
Tangible benefits can be objectively measured and verified with hard data. Reduced error rate and customer satisfaction scores are numeric and measurable. Brand reputation and employee morale are intangible as they are subjective and lack a standardised scale.
- Question 14Interactive
A benefits map shows the following sequence:\nInputs -> Outputs -> ? -> End Benefits\nWhat is the missing element?
- AIntermediate OutcomesCorrect answer
- BRisks and Assumptions
- CProject Milestones
- DDis-benefits
Why this is the answer
A benefits map typically reads from left to right: Inputs → Outputs → Intermediate Outcomes → End Benefits. Intermediate outcomes represent changes in behaviour, process, or capability that lead to the final benefits.
- Question 15Single Choice
What is the primary difference between a Benefits Management Strategy and a Benefits Management Plan?
- AThe strategy defines the overall approach, governance, and ownership; the plan specifies detailed activities, schedules, and resources.Correct answer
- BThe strategy is developed after the Full Business Case; the plan is developed during the Outline Business Case.
- CThe strategy is a static document; the plan is updated only at project closure.
- DThe strategy focuses on financial benefits; the plan covers non-financial benefits.
Why this is the answer
The Benefits Management Strategy sets the high-level approach, governance, and ownership, typically developed early during the Outline Business Case. The Benefits Management Plan operationalises the strategy with specific activities, schedules, and resources.
- Question 16Multiple Select
Which roles are typically accountable for the realization of benefits within the BBC framework? (Select all that apply.)
- ASenior Responsible Owner (SRO)Correct answer
- BProject Manager
- CBenefits Owner
- DBenefits Realization Manager
Why this is the answer
The SRO is the single point of accountability for the business case and its benefits. While the Benefits Owner is responsible for a specific benefit and the Benefits Realization Manager coordinates the process, ultimate accountability rests with the SRO. The Project Manager is responsible for delivering outputs, not for benefit realization.
- Question 17Interactive
Examine the following list of items identified during a project. Which one is a dis-benefit, as defined by the BBC?
- AIncrease in staff overtime costs due to system implementation
- BTemporary productivity loss during the transition to a new processCorrect answer
- CUnexpected delay in supplier delivery
- DBudget overrun for software licensing
Why this is the answer
A dis-benefit is a certain, non-monetary negative outcome directly attributable to the investment. Temporary productivity loss is a negative outcome that is expected. Increased staff overtime costs are a monetary cost, not a dis-benefit. Supplier delivery delay is a risk, and budget overrun is a cost.
The Case for Change
11 questions in this domain
- Question 18Single Choice
What is the primary purpose of the Strategic Outline Case (SOC) in the Five Case Model?
- ATo perform detailed financial appraisal
- BTo justify whether the idea is worth pursuingCorrect answer
- CTo select the preferred procurement option
- DTo develop the full benefits realisation plan
Why this is the answer
The SOC answers 'Is this idea worth pursuing?' and establishes the strategic context.
- Question 19Multiple Select
Which two of the following are examples of external drivers for change?
- ALegislationCorrect answer
- BBoard decision to restructure
- CTechnological disruptionCorrect answer
- DInternal operational inefficiency
Why this is the answer
External drivers come from outside the organisation, such as laws and technology changes.
- Question 20Interactive
Review the code block and select the correct statement about business needs.
- AA business need is a solution to a problem
- BA business need describes the gap between current and desired stateCorrect answer
- CA business need is always technology-related
- DA business need is the same as a stakeholder opinion
Why this is the answer
A business need is an evidence-based gap aligned with strategy, not a solution.
- Question 21Single Choice
Who is accountable for the development of the Strategic Outline Case?
- AProject Manager
- BSenior Responsible OwnerCorrect answer
- CBusiness Analyst
- DFinance Director
Why this is the answer
The SRO owns the strategic case and is accountable for the SOC's quality.
- Question 22Multiple Select
Which two elements are mandatory in a SMART investment objective?
- ATime-boundCorrect answer
- BVague
- CMeasurableCorrect answer
- DOpinion-based
Why this is the answer
SMART stands for Specific, Measurable, Achievable, Relevant, Time-bound.
- Question 23Interactive
Examine the code block and select the correct classification of stakeholder engagement levels.
- AInform is two-way communication
- BCollaborate means partnership in decision-makingCorrect answer
- CConsult gives stakeholders final decision power
- DEmpower is one-way information sharing
Why this is the answer
Collaborate involves joint decision-making; inform is one-way; empower gives final say to stakeholders.
- Question 24Single Choice
What is the distinction between a 'need' and a 'want' in the strategic context?
- AA need is mandatory, a want is desirableCorrect answer
- BA need is budget-driven, a want is regulatory
- CA need is always external, a want is internal
- DA need is optional, a want is compulsory
Why this is the answer
Needs are non-negotiable imperatives (e.g., regulation); wants are desirable improvements.
- Question 25Multiple Select
Which two of the following are components of the strategic case in the Five Case Model?
- AStrategic contextCorrect answer
- BProcurement strategy
- CBusiness needCorrect answer
- DNet present value calculation
Why this is the answer
The strategic case includes strategic context and business need, not procurement or NPV.
- Question 26Interactive
Review the code block and select the correct statement about risk ownership.
- AProject Manager owns all strategic risks
- BSenior Responsible Owner owns strategic risksCorrect answer
- CRisk Manager owns strategic risks
- DFinance Director owns strategic risks
Why this is the answer
The SRO is accountable for strategic risk identification and ownership.
- Question 27Single Choice
What is the first step in the process of identifying and analyzing business needs?
- ADevelop a list of solutions
- BDefine the strategic contextCorrect answer
- CCalculate net present value
- DSelect a preferred option
Why this is the answer
The first step is to review the strategic objectives and external environment.
- Question 28Multiple Select
Which two tools are commonly used for root cause analysis in the BBC framework?
- AFive WhysCorrect answer
- BPESTLE
- CFishbone diagramCorrect answer
- DSWOT
Why this is the answer
Five Whys and fishbone diagrams drill down to root causes; PESTLE and SWOT are environmental scans.
The Five Case Model
14 questions in this domain
- Question 29Single Choice
Which of the five cases answers the question 'Why is this change needed?'
- AStrategic CaseCorrect answer
- BEconomic Case
- CCommercial Case
- DFinancial Case
Why this is the answer
The Strategic Case answers 'why' by defining strategic context, business need, and investment objectives.
- Question 30Multiple Select
Which two concepts are mandatory in the Strategic Case options analysis?
- ADo NothingCorrect answer
- BDo MinimumCorrect answer
- CDo Something
- DPreferred Option
Why this is the answer
Do Nothing is mandatory as a baseline; Do Minimum is also required. Do Something and Preferred Option are not mandatory at the Strategic Case stage.
- Question 31Interactive
Referring to the code block, which case focuses on value for money using Net Present Social Value?
- AStrategic
- BEconomicCorrect answer
- CFinancial
- DCommercial
Why this is the answer
The Economic Case uses cost-benefit analysis and Net Present Social Value to demonstrate value for money.
- Question 32Single Choice
What does the 'Goldene Thread' concept ensure in the Five Case Model?
- AFunding sources
- BOrganisational objectives and public benefitCorrect answer
- CRisk management
- DProcurement strategy
Why this is the answer
The Golden Thread connects business case outputs to outcomes, organisational objectives, and wider public benefit.
- Question 33Multiple Select
Which two stages of business case development are defined in the Five Case Model? (Select two)
- AStrategic Outline Case (SOC)Correct answer
- BOutline Business Case (OBC)Correct answer
- CFull Business Case (FBC)
- DPost-Implementation Review (PIR)
Why this is the answer
The three stages are SOC, OBC, and FBC. The question asks for two; both SOC and OBC are correct stages.
- Question 34Interactive
Using the information in the code block, what does the acronym 'SRO' stand for?
- ASenior Risk Owner
- BStrategic Reporting Officer
- CSenior Responsible OwnerCorrect answer
- DSponsor of Resources and Operations
Why this is the answer
The SRO is the Senior Responsible Owner, accountable for the business case and overall success.
- Question 35Single Choice
Which case is responsible for demonstrating that the procurement route is viable?
- AManagement Case
- BFinancial Case
- CCommercial CaseCorrect answer
- DEconomic Case
Why this is the answer
The Commercial Case addresses procurement route, contract framework, supplier viability, and market engagement.
- Question 36Multiple Select
Which two elements are essential components of the Financial Case? (Select two)
- AAffordabilityCorrect answer
- BFunding sourcesCorrect answer
- CNet Present Social Value
- DStrategic fit
Why this is the answer
The Financial Case confirms affordability (budget) and identifies funding sources. NPSV belongs to Economic Case; strategic fit to Strategic Case.
- Question 37Interactive
Refer to the code. Which case is delivered last and includes the benefits realisation plan?
- AManagement CaseCorrect answer
- BCommercial Case
- CEconomic Case
- DFinancial Case
Why this is the answer
The Management Case is the final case, containing delivery plan, benefits realisation plan, risk management, and governance.
- Question 38Single Choice
Which principle states that the level of effort in business cases should match the project's risk?
- AProportionalityCorrect answer
- BOptimism bias
- CInterdependence
- DIteration
Why this is the answer
Proportionality means the level of detail in the business case should be proportionate to the risk, size, and complexity of the proposal.
- Question 39Multiple Select
Which two are common traps when using the Five Case Model? (Select two)
- AThe cases are sequential and linearCorrect answer
- BThe cases must be iteratively aligned
- CThe Management Case only covers project schedulingCorrect answer
- DThe Economic Case includes budget details
Why this is the answer
Treating cases as linear is a trap; the Management Case includes governance, benefits, and risk, not just schedule.
- Question 40Interactive
Using the code, what metric does the Economic Case primarily rely on?
- ANPV
- BIRR
- CNPSVCorrect answer
- DBCR
Why this is the answer
The Economic Case uses Net Present Social Value (NPSV) as the primary metric for option selection.
- Question 41Single Choice
What is the main purpose of the 'Do Nothing' option in the Economic Case?
- ATo act as a baseline for comparisonCorrect answer
- BTo reduce the number of options
- CTo guarantee funding
- DTo avoid risk
Why this is the answer
The Do Nothing option provides the baseline against which all other options are compared to assess incremental benefits and costs.
- Question 42Multiple Select
Which two types of costs must be distinguished in the Financial Case? (Select two)
- ACAPEXCorrect answer
- BOPEXCorrect answer
- CSunk costs
- DExternalities
Why this is the answer
The Financial Case distinguishes capital expenditure (CAPEX) and revenue expenditure (OPEX). Sunk costs and externalities are not primary classifications here.
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