Business Case Writing Business Case Writing 3

Question 1

When presenting multiple solution options in a business case, what should each option include?

Accepted Answer

Costs, benefits, risks, and a recommendation rationale

Answer

Each option must be evaluated consistently across costs, benefits, and risks so decision-makers can make an informed choice.

Question 2

Which stakeholder is typically the primary audience for the executive summary of a business case?

Accepted Answer

Senior executives and sponsors who approve funding

Answer

The executive summary is written for busy senior decision-makers who need a concise picture of the proposal without reading the full document.

Question 3

What does a 'Monte Carlo simulation' add to a business case financial analysis?

Accepted Answer

A probability distribution of outcomes based on variable ranges

Answer

Monte Carlo simulation runs thousands of random scenarios across variable ranges to produce a probability distribution of financial outcomes.

Question 4

In business case writing, 'scope creep' is a risk that should be addressed in which section?

Accepted Answer

Risk and Mitigation section

Answer

Scope creep—uncontrolled expansion of project boundaries—is a common risk that belongs in the risk register with mitigation strategies.

Question 5

Which writing principle is most important when crafting the recommendation in a business case?

Accepted Answer

Be direct and clearly state the preferred option with supporting rationale

Answer

A strong recommendation clearly states the preferred course of action and briefly explains why it is the best choice given the evidence.

Business Case Writing Practice Test