Summer Special Limited Time 65% Discount Offer - Ends in 0d 00h 00m 00s - Coupon code: exc65

examout.co

Which 2 observations correctly evaluate risks that could affect the affordability of this project?

A.

Without the sale of Pittville High School, the project is no longer viable.

B.

The project would still be viable if equipment costs were to double after Year 3.

C.

If the other income were to be withdrawn for any reason, LEA Funding alone could fund the running costs of the scheme after Year 3.

D.

The project would no longer be affordable if funding were to increase by 5%.

E.

Income from the hire of the Sport Facilities must continue to increase every year for the scheme to be viable.

Pittville University insist that the business scope of the Pittville project should be based on the

development of a new campus on the site of the Old Fire Station Headquarters.

Is this an appropriate application of the Five Case Model for this project?

A.

No, because Pittville University should NOT be involved in the development of the Strategic Case.

B.

No, because the business scope should determine the affected business areas, functionality and organization.

C.

Yes, because the Old Fire Station Headquarters site has good access from most parts of Pittville.

D.

Yes, because the business scope of the Pittville project should be based on a short list of options.

Using the Scenario and the extract below from the Revenue Budget for the Pittville project, answer the following

questions. (Note. The figures entered are correct).

Which 2 observations correctly evaluate the Expenditure?

A.

The cost of building the new campus should be included in this table.

B.

Staffing costs should be moved to the Economic Appraisal.

C.

To be useful this table should cover the lifetime of the asset.

D.

Equipment costs should be moved to the capital costs.

E.

The cost of finance should be moved to the Economic Appraisal.

The Director of Pittville University has resigned during the procurement process. As a result, the Deputy Director is now acting as Director. The other schools have now withdrawn their objections to Pittville University running the new campus. It is thought that

the delivery approach could be revised so that Pittville University manages all 16-18-year-olds education and further cost reductions could be achieved. There is no option in the OBC that provides this delivery approach with the service solution of a new

campus.

Should the preferred option be reviewed in the FBC? (Select one)

A.

No, because the lack of a Director of Pittville University would not affect a delivery approach involving Pittville University.

B.

No, because the preferred option should remain unchanged once selected at OBC.

C.

Yes, because the FBC must demonstrate that the preferred option offers better VFM than the other available options.

D.

Yes, because the FBC should consider the organization's strategy for managing contractual change.

It is estimated that 60% of the taxation costs on the development will NOT be reclaimable.

Should the unclaimable taxation costs be excluded from the Financial Appraisal?

A.

No, because the Financial Appraisal should demonstrate value for money.

B.

No, because both resource and non-resource costs and benefits should be factored into the analysis.

C.

Yes, because taxation costs should be excluded from the Financial Appraisal.

D.

Yes, because it is the Economic Case that should include inflation and taxation costs.

Using the Scenario, answer the following question about the Strategic Case section of the

Strategic Outline Case (SOC) for the Pittville project.

Lines 1 to 4 in the table below consist of an assertion statement and a reason statement. For each

line identify the appropriate option, from options A to E, that applies. Each option can be used once,

more than once or not at all.

An extract of an entry in the benefits register includes the following information:

1. Benefit type: Cash-releasing

2. Description: A net overall saving in the cost of cleaning

3. Target improvement: Reduce overall costs of cleaning contracts by 10% per annum

4. Responsible officer: Pittville University Procurement Manager.

Which 2 statements apply to these entries?

A.

Amend entry 1, because the benefit type should be 'financial but non-cash-releasing'.

B.

No change to entry 1, because the benefit is cash-releasing and should be measured in financial terms.

C.

Amend entry 3, because the improvement is unknown.

D.

No change to entry 3, because the benefits register should indicate the level of improvement expected.

E.

Amend entry 4, because the SRO should be the responsible officer for all benefits.

The Benefits Realization Framework section states:

1. It was identified in the OBC that existing schools and universities play a major role in the success or otherwise of the Pittville

project. A strategy for Learning Provider engagement is to be prepared.

2. A senior manager within the Local Education Authority is ultimately responsible for benefits realization.

Which 2 statements apply to these entries?

A.

Amend entry 1, because the strategy for the realization of benefits should be confirmed within the OBC.

B.

Delete entry 1, because schools and universities will be responsible for the delivery of the benefits.

C.

No change to entry 1, because the strategy for the realization of benefits should be revisited and re-affirmed within the FBC.

D.

Amend entry 2, because the project manager is responsible for benefits realization.

E.

No change to entry 2, because this is appropriate to this section.

Service Solution 1: 'Do minimum - introduce learning network to

existing schools and universities only'.

Which 2 statements are correct about this entry in the Options

Framework?

A.

Should be rejected as over-ambitious.

B.

Delivers against one or more of the critical success factors.

C.

Will represent a benchmark for Value For Money throughout the appraisal process.

D.

Supports one or more of the Spending Objectives.

E.

Incorrectly identified as a Scoping Solution.

Which detail should be explained in the Financial Case?

A.

Allocation of risk negotiated between the organization and the preferred service

provider.

B.

Written confirmation of funding arrangements for the deal from the

organization's commissioners.

C.

Underpinning method of payment for services and outputs.

D.

Type of contract used and key contractual issues.