Present options, not just the problem. "We are 20% over because of X. Our options are A, B, or C with these trade-offs" empowers stakeholder decision-making.
Best answers: analyse where the overrun is occurring (which categories, which phases), identify root causes (scope creep, poor estimates, resource changes), present options to stakeholders (reduce scope, extend timeline, increase budget, accept reduced quality), and implement corrective actions with monitoring. Best candidates discuss early warning indicators they should have caught sooner.
Tests financial management and stakeholder communication. Hiding budget problems is a serious red flag. Early, transparent communication with options is the hallmark of a mature PM.