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PMP · Question #303

PMP Question #303: Real Exam Question with Answer & Explanation

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Submitted by layla.eg· Apr 18, 2026Business Environment

Question

A new project manager was assigned to a project during implementation. The project manager realized that new tax policies are creating a risk for a cost overrun by 25%. The project manager updated the risk register and kept the project running as normal. The CEO has announced that the project could be cancelled since the acceptable cost overrun is only 20%. The project manager was quite surprised as this was new information. What should the project manager have done to avoid this?

Options

  • AImplemented the communications management plan properly.
  • BImplemented the stakeholder engagement plan correctly.
  • CProvided a proper risk response.
  • DEnsured the risk tolerance of the company was properly updated.

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Topics

#Risk Management#Organizational Risk Tolerance#Business Environment#Project Governance
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