This is occasionally an actual test, but it usually refers to a set of criteria used to measure an investment or enterprise against specific standards. The objective is to determine whether the investment or enterprise is worth pursuing or investing in by judging how well it meets the challenge established by the judgement criteria. Prudency testing in the energy industry usually refers to the public scrutiny which a project must undergo before it is allowed to continue beyond a planning phase, but it may also refer to a test that a company or other party sets for itself before deciding whether to proceed with a particular investment or business activity.