Question 1 of 16
A project charter has been approved by the sponsor. What does this authorization primarily accomplish?
- A.It formally authorizes the project to exist, assigns the project manager, and grants authority to apply organizational resources.
- B.It defines the detailed scope, schedule, and cost baselines — the charter is the primary planning document that establishes the commitments the team will be held accountable for throughout the project.
- C.It provides a binding contractual commitment to deliver within the stated parameters — signing the charter creates a formal organizational obligation that the PM is legally responsible for fulfilling.
- D.It establishes the project performance baseline — the charter's scope, schedule, and cost parameters serve as the official reference against which all progress will be tracked and measured.
Show answer and explanation
Correct answer: A
The project charter formally authorizes the project to exist within the organization and establishes the project manager's authority to use resources. It contains high-level information: project purpose, objectives, assumptions, and authority levels. Detailed scope, schedule, and cost baselines (A, D) are developed in the project management plan — not the charter. The charter is not a contract — it is an internal organizational document, often separate from any procurement agreements.