CGEIT Practice Test 5 — 10 Questions

Question 1

An organization is updating its IT governance policies. Which element must be included to ensure policy enforcement?

Accepted Answer

Defined roles, responsibilities, and accountability mechanisms. To ensure policy enforcement, an IT governance policy must include defined roles, responsibilities, and accountability mechanisms (B). Policies without assigned ownership and consequences are unenforceable; defining who is responsible for compliance, who monitors it, and what happens when it is violated is what turns a policy document into an enforceable governance instrument. This aligns with COBIT's emphasis on organizational structures and accountability.

Answer

A copy of the IT department's budget spreadsheet

Answer

A detailed technical configuration guide for all servers

Answer

A list of all software vendor names used by the company

Question 2

What is the primary benefit of asset management within IT resource governance?

Accepted Answer

Providing visibility into the IT inventory for optimization and compliance. Asset management in IT resource governance provides visibility into the IT inventory — hardware, software, licenses, and configurations — enabling optimization (cost, utilization, lifecycle) and compliance (license audits, regulatory requirements). This visibility is the foundation for informed investment, retirement, and risk decisions. Without it, governance cannot know what resources exist or whether they are being used effectively.

Answer

Reducing the need for IT staff

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Ensuring all hardware is painted the same color

Answer

Automating the password reset process

Question 3

A project delivers a new system, but the benefits are not realized due to an outdated manual process that was not updated. Where did the benefits management plan fail?

Accepted Answer

In the business change management and process alignment components.. Benefits realization depends not only on delivering the technology but also on changing the business processes and organizational behaviors that surround it. If an outdated manual process remains in place after the system goes live, the expected benefits cannot materialize — this is a failure of the business change management and process alignment components of the benefits management plan.

Answer

In the software coding standards.

Answer

In the technical design phase.

Answer

In the project budget management.

Question 4

An organization is merging with another company. How should the governance structures be reconciled?

Accepted Answer

Conduct a gap analysis and develop a unified governance framework.. When merging organizations, governance structures should be reconciled through a gap analysis that identifies differences, overlaps, and best practices, followed by development of a unified framework. This ensures the merged entity has a coherent governance model aligned with its new strategy, risk profile, and regulatory obligations. Simply adopting one side's framework or keeping both creates inconsistency and accountability gaps.

Answer

Adopt the framework of the company with more employees.

Answer

Keep both frameworks as they are.

Answer

Abandon both frameworks and start from scratch.

Question 5

What is the primary difference between a Project Manager and a Benefits Owner?

Accepted Answer

The project manager is responsible for the technical output; the benefits owner is responsible for the business outcome.. The project manager owns delivery of the project's defined scope, schedule, and technical outputs within constraints, while the benefits owner is accountable for realizing the intended business outcomes and value after delivery. In CGEIT terms, this separation reflects the distinction between project execution (outputs) and benefits realization (outcomes), which is central to IT governance and value delivery.

Answer

There is no difference between these two roles.

Answer

The project manager is responsible for the company's financial results.

Answer

The benefits owner manages the daily development tasks.

Question 6

An organization adopts a new IT governance policy. Which mechanism best ensures that employees understand and follow the policy?

Accepted Answer

Establishing a formal communication and training plan regarding the policy. Establishing a formal communication and training plan is the most effective mechanism because it proactively ensures that employees are aware of the policy, understand its requirements, and know how to comply. Training and communication are core components of IT governance implementation, as they translate policy intent into actionable behavior. This approach aligns with COBIT's focus on culture, ethics, and behavior, ensuring that governance policies are embedded in the organization. Without such a plan, even the best policy remains unknown or misunderstood.

Answer

Including the policy in the organization's long-term strategic plan

Answer

Threatening immediate termination for any policy deviation

Answer

Encrypting the policy document on the corporate intranet

Question 7

Which TWO stakeholders are essential for successful IT governance?

Accepted Answer

Executive Management. Executive Management (C) is essential because IT governance requires top leadership to set strategic direction, approve IT policies, allocate budgets, and ensure IT investments align with business objectives and risk appetite. The Board of Directors (D) is also essential because it provides ultimate oversight and accountability, ensuring that IT governance frameworks, risk management, and compliance obligations are met at the highest organizational level. Together, these two stakeholders supply the authority, strategic alignment, and oversight that define successful IT governance. Local IT repair technicians (A) perform operational support tasks rather than governance-level decision-making, delivery drivers (B) are unrelated to IT governance, and external janitorial staff (E) have no governance role, so none of these belong.

Answer

Local IT repair technicians

Answer

Delivery drivers

Answer

External janitorial staff

Question 8

A retail company's IT risk register shows that a legacy point-of-sale system has a high likelihood of failure due to unsupported hardware. The CIO wants to replace it, but the CFO argues that the system still works and replacement is too expensive. The CEO asks the CGEIT practitioner to facilitate a decision. Which of the following should be the primary basis for the decision?

Accepted Answer

The alignment of the decision with the enterprise's risk appetite and tolerance levels.. Governance decisions about IT risk should be anchored in the enterprise's risk appetite. When a risk exceeds tolerance, the organization must act to bring it within acceptable levels, even if that requires investment. The CGEIT practitioner facilitates this by ensuring the decision is framed around risk-return alignment rather than cost or technical specifications alone.

Answer

The CFO's cost-benefit analysis showing that replacement is not financially justified.

Answer

The total cost of ownership of the legacy system versus the replacement.

Answer

The technical specifications of the replacement system compared to the legacy system.

Question 9

Which of the following best defines IT Governance?

Accepted Answer

A structure of relationships and processes to direct and control the enterprise.. IT governance is defined as the structure of relationships and processes used to direct and control the enterprise's IT resources toward business objectives. This definition (rooted in COBIT and ITGI) emphasizes direction, control, and accountability rather than operational execution. It encompasses leadership, organizational structures, and processes that ensure IT sustains and extends the enterprise's strategy and objectives.

Answer

Purchasing new software for the company.

Answer

Managing daily IT support tickets.

Answer

Updating antivirus software across the network.

Question 10

When benefits are reported as 'percentage of goal achieved', what is a potential risk?

Accepted Answer

Percentages may hide the underlying absolute values and total costs.. Reporting benefits as a percentage of goal achieved can obscure the absolute magnitude of the benefit and the costs incurred. For example, achieving 100% of a small goal may look successful, but if the total cost was enormous, the net value could be negative. Percentages alone do not reveal whether the benefit is material to the organization or whether the investment was worthwhile.

Answer

Percentages are too difficult for stakeholders to understand.

Answer

Percentages cannot be calculated for IT projects.

Answer

Percentages are always accurate.