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NEW QUESTION 23
What is the MAIN purpose of designing risk management programs?

• A. To reduce the risk to a level that is too small to be measurable
• B. To reduce the risk to a rate of return that equals the current cost of capital
• C. To reduce the risk to a level that the enterprise is willing to accept
• D. To reduce the risk to the point at which the benefit exceeds the expense

Answer: C

Explanation:
Section: Volume C
Explanation:
Risk cannot be removed completely from the enterprise; it can only be reduced to a level that an organization is willing to accept. Risk management programs are hence designed to accomplish the task of reducing risks.
Incorrect Answers:
B: Depending on the risk preference of an enterprise, it may or may not choose to pursue risk mitigation to the point at which benefit equals or exceeds the expense. Hence this is not the primary objective of designing the risk management program.
C: Reducing risk to a level too small to measure is not practical and is often cost-prohibitive.
D: Reducing risks to a specific return ignores the qualitative aspects of the risk which should also be considered.

NEW QUESTION 24
The BEST key performance indicator (KPI) to measure the effectiveness of a backup process would be the number of:

• A. resources to monitor backups backup
• B. recurring restore failures.
• C. restoration monitoring reports.
• D. recovery requests

Answer: B

NEW QUESTION 25
According to the Section-302 of the Sarbanes-Oxley Act of 2002, what does certification of reports implies? Each correct answer represents a complete solution. Choose three.

• A. The financial statement does not contain any materially untrue or misleading information.
• B. The signing officer has evaluated the effectiveness of the issuer's internal controls as of a date at the time to report.
• C. The signing officer has presented in the report their conclusions about the effectiveness of their internal controls based on their evaluation as of that date.
• D. The signing officer has reviewed the report.

Answer: A,C,D

Explanation:
Section 302 of Sarbanes-Oxley act has the tremendous impact on the risk management solution
adopted by corporations. This section specifies that the reports must be certified by the CEO,
CFO, or other senior officer performing similar functions.
Certification of reports establishes:

NEW QUESTION 26
Which of the following would be MOST helpful to understand the impact of a new technology system on an organization's current risk profile?

• A. Hire consultants specializing in the new technology
• B. Conduct a gap analysis
• C. Review existing risk mitigation controls
• D. Perform a risk assessment

Answer: A

Explanation:
Section: Volume D

NEW QUESTION 27
You are the project manager of GHT project. You want to perform post-project review of your project. What is the BEST time to perform post-project review by you and your project development team to access the effectiveness of the project?

• A. Immediately after the completion of the project
• B. During the project
• C. Project is completed and the system has been in production for a sufficient time period
• D. Project is about to complete

Answer: C

Explanation:
Explanation/Reference:
Explanation:
The project development team and appropriate end users perform a post-project review jointly after the project has been completed and the system has been in production for a sufficient time period to assess its effectiveness.
Incorrect Answers:
B: The post-project review of project for accessing effectiveness cannot be done during the project as effectiveness can only evaluated after setting the project in process of production.
C: It is not done immediately after the completion of the project as its effectiveness cannot be measured until the system has been in production for certain time period.
D: Post-project review for evaluating the effectiveness of the project can only be done after the completion of the project and the project is in production phase.

NEW QUESTION 28
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