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| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Risk Response and Reporting | 32% | - Risk Reporting
|
| Topic 2: Governance | 26% | - Risk Strategy Alignment
|
| Topic 3: IT Risk Assessment | 20% | - Risk Identification
|
| Topic 4: Monitoring and Control | 22% | - Risk Monitoring
|
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NEW QUESTION # 844
Which of the following is the GREATEST risk associated with inappropriate classification of data?
Answer: C
NEW QUESTION # 845
Which of the following should the risk practitioner do FIRST when assessing newly installed IT systems?
Answer: B
Explanation:
The correct answer is C because the first step when assessing newly installed IT systems is to inventory the IT systems . Before the systems can be reviewed for configuration, classified, or added to the risk register, the organization must first identify what systems exist in the environment and bring them into scope for assessment.
The other options come later:
* A. Review asset configuration requires the systems to have already been identified.
* B. Update the risk register occurs after risks have been identified and assessed.
* D. Classify the IT systems also depends on first knowing what systems exist.
Exact Extracts supporting the answer:
* "The FIRST step in identifying and assessing IT risk is to gather information on the current and future environment."
* "The PRIMARY reason for determining the security boundary prior to conducting a risk assessment is to identify the scope of the risk assessment."
* "Understanding the system and its subsystems is the MOST effective method to conduct a risk assessment on an internal system in an enterprise."
* "The preparation of a risk register begins in the risk identification process." These extracts support that risk assessment starts with identifying the environment and scope. Therefore, the first action is to inventory the IT systems .
NEW QUESTION # 846
Which of the following describes the relationship between Key risk indicators (KRIs) and key control indicators (KCIS)?
Answer: B
NEW QUESTION # 847
Which of the following is the BEST method to maintain a common view of IT risk within an organization?
Answer: D
Explanation:
The best method to maintain a common view of IT risk within an organization is to establish and communicate the IT risk profile. An IT risk profile is a document that summarizes the key IT risks that the organization faces or accepts, and their likelihood, impact, and priority. An IT risk profile helps to identify and prioritize the most critical or relevant IT risks, and to align them with the organization's objectives, strategy, and risk appetite. Establishing and communicating the IT risk profile is the best method to maintain a common view of IT risk, because it helps to create a shared understanding and awareness of the IT risks among the organization's stakeholders, such as the board, management, business units, and IT functions. Establishing and communicating the IT risk profile also helps to facilitate the IT risk decision-making and reporting processes, and to monitor and control the IT risk performance and improvement. The other options are not the best method to maintain a common view of IT risk, although they may be part of or derived from the IT risk profile. Collecting data for IT risk assessment, utilizing a balanced scorecard, and performing and publishing an IT risk analysis are all activities that can help to support or update the IT risk profile, but they are not the best method to maintain a common view of IT risk. References = Risk and Information Systems Control Study Manual, Chapter 1, Section 1.3.1, page 1-15.
NEW QUESTION # 848
While evaluating control costs, management discovers that the annual cost exceeds the annual loss expectancy
(ALE) of the risk. This indicates the:
Answer: A
Explanation:
Risk is inefficiently controlled when the annual cost of the control exceeds the annual loss expectancy (ALE)
of the risk, as this means that the organization is spending more on the control than the potential loss that the
control is supposed to prevent or reduce. This indicates that the control is not cost-effective or optimal, and
that the organization should consider alternative or complementary controls that can lower the cost or increase
the benefit of the risk management. Control is ineffective and should be strengthened when the control does
not reduce the likelihood or impact of the risk to an acceptable level, regardless of the cost. Risk is efficiently
controlled when the annual cost of the control is equal to or less than the annual loss expectancy (ALE) of the
risk, as this means that the organization is spending less or equal on the control than the potential loss that the
control is supposed to prevent or reduce. Control is weak and should be removed when the control does not
provide any benefit or value to the risk management, regardless of the cost. References = CRISC Certified in
Risk and Information Systems Control - Question205; ISACA Certified in Risk and Information Systems
Control (CRISC) Certification Exam Question and Answers, question 205.
NEW QUESTION # 849
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