The latest progress reports indicate that a software development project is within tolerance and forecasted to be completed on time and on budget. The product owner requests a change to the agreed specification, which will require significant rework of completed work packages and the introduction of new work. Although the reasons for the change are justifiable, the project manager is concerned about schedule and budget impacts.

Which action should be taken first?

Question $10$ options:

The project manager and product owner should escalate the change request to the project sponsor for approval as it affects the budget and schedule.

The project manager should approve the change request and work with the product owner to figure out how best to complete the work in the shortest amount of time.

The product owner should approve the change request and work with the project manager to establish new cost and schedule baselines.

The project manager and product owner should meet with key stakeholders to establish the budget and schedule impacts, agree on rework, and determine the priority of the change.