Isaca IT Risk Fundamentals Certificate Exam Practice Test

Answer : B

Risk identification is critical because it ensures that risk is recognized and the impact on business objectives is understood. Here's why:

Provides a review of previous and likely threats to the enterprise: While this is part of risk identification, it does not encompass the primary purpose. Reviewing past threats helps in understanding historical risks but does not address the recognition and understanding of current and future risks.

Ensures risk is recognized and the impact to business objectives is understood: This is the essence of risk identification. It helps in identifying potential risks and understanding how these risks can impact the achievement of business objectives. Recognizing risks allows organizations to proactively address them before they materialize.

Enables the risk register to detail potential impacts to an enterprise's business processes: This is a result of risk identification, but the primary importance lies in the recognition and understanding of risks.

Therefore, risk identification is crucial as it ensures that risks are recognized and their impacts on business objectives are understood.

Answer : B

A Threat Assessment evaluates changes in the technical or operating environments that could result in adverse consequences to an enterprise. This process involves identifying potential threats that could exploit vulnerabilities in the system, leading to significant impacts on the organization's operations, financial status, or reputation. It is essential to distinguish between different types of assessments:

Vulnerability Assessment: Focuses on identifying weaknesses in the system that could be exploited by threats. It does not specifically evaluate changes in the environment but rather the existing vulnerabilities within the system.

Threat Assessment: Involves evaluating changes in the technical or operating environments that could introduce new threats or alter the impact of existing threats. It looks at how external and internal changes could create potential risks for the organization. This assessment is crucial for understanding how the evolving environment can influence the threat landscape.

Control Self-Assessment (CSA): A process where internal controls are evaluated by the employees responsible for them. It helps in identifying control gaps but does not specifically focus on changes in the environment or their impact.

Given these definitions, the correct type of assessment that evaluates changes in technical or operating environments that could result in adverse consequences to an enterprise is the Threat Assessment.

Answer : C

Definition and Context:

A Business Impact Assessment (BIA) is a process that helps organizations identify critical business functions and the effects that a business disruption might have on them. It is fundamental in shaping business continuity and disaster recovery plans.

Impact on Business Continuity and Disaster Recovery:

Material updates to the incident response plan can affect business continuity, but they are typically tactical responses to incidents rather than strategic shifts in understanding business impact.

Data backups being moved to the cloud can improve resilience and recovery times, but the strategic importance of this change is contingent on the criticality of the data and the reliability of the cloud provider.

Changes to the BIA directly affect the accuracy and appropriateness of plans associated with business continuity and disaster recovery. The BIA defines what is critical, the acceptable downtime, and the recovery priorities. Therefore, any changes here can significantly alter the continuity and recovery strategies.

Conclusion:

Given the strategic role of the BIA in business continuity planning, changes to the BIA have the most substantial impact on the accuracy and appropriateness of business continuity and disaster recovery plans.

Answer : B

The best way to minimize potential attack vectors on the enterprise network is to disable any unneeded ports. Here's why:

Implement Network Log Monitoring: This is important for detecting and responding to security incidents but does not directly minimize attack vectors. It helps in identifying attacks that have already penetrated the network.

Disable Any Unneeded Ports: By closing or disabling ports that are not needed, you reduce the number of entry points that an attacker can exploit. Open ports can be potential attack vectors for malicious activities, so minimizing the number of open ports is a direct method to reduce the attack surface.

Provide Annual Cybersecurity Awareness Training: While this is crucial for educating employees and reducing human-related security risks, it does not directly address the technical attack vectors on the network itself.

Therefore, the best method to minimize potential attack vectors is to disable any unneeded ports, as this directly reduces the number of exploitable entry points.

Answer : A

Publishing IT risk-related policies and procedures sets the overall expectations for risk management within an enterprise. These documents provide a clear framework and guidelines for how risk should be managed, communicated, and mitigated across the organization. They outline roles, responsibilities, and processes, ensuring that all employees understand their part in the risk management process. This clarity helps align the organization's efforts towards a common goal and fosters a risk-aware culture. While holding management accountable and ensuring regulatory compliance are important, the primary role of these policies is to set the tone and expectations for managing risks effectively, as emphasized by standards such as ISO 27001 and COBIT.

Answer : C

To establish an enterprise risk appetite, it is essential for an organization to establish risk tolerance for each business unit. Risk tolerance defines the specific level of risk that each business unit is willing to accept in pursuit of its objectives. This approach ensures that risk management is tailored to the unique context and operational realities of different parts of the organization, enabling a more precise and effective risk management strategy. Normalizing risk taxonomy and aggregating risk statements are important steps in the broader risk management process but establishing risk tolerance is fundamental for defining risk appetite at the unit level. This concept is supported by standards such as ISO 31000 and frameworks like COSO ERM (Enterprise Risk Management).

Answer : A

To manage IT-related risk throughout the enterprise, it is crucial to establish an enterprise risk governance committee. This committee provides oversight and direction for the risk management activities across the organization. It ensures that risks are identified, assessed, and managed in alignment with the organization's risk appetite and strategy. The committee typically includes senior executives and stakeholders who can influence policy and resource allocation. This structure supports a comprehensive approach to risk management, integrating risk considerations into decision-making processes. This requirement is in line with guidance from frameworks such as COBIT and ISO 27001, which emphasize governance structures for effective risk management.