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CAS-004 Practice Question: Implementing a new vendor risk management program

A company is implementing a new vendor risk management program. Which of the following is the BEST approach to assess third-party security controls?

Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

Use a standardized security questionnaire and conduct on-site audits

Using a standardized security questionnaire combined with on-site audits provides a thorough and objective assessment of a vendor's security controls, covering policies, procedures, and technical implementation. Option A is incorrect because financial stability does not directly reflect security posture; a financially stable vendor may still have weak security. Option C is incorrect because relying solely on a vendor's self-assessment is biased and may not reveal actual vulnerabilities. Option D is incorrect because only reviewing public breach reports is reactive and misses details about current security practices.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • Check the vendor’s financial stability

    Why it's wrong here

    Financial stability does not directly indicate security posture.

  • Use a standardized security questionnaire and conduct on-site audits

    Why this is correct

    Combining a questionnaire with on-site audits provides thorough, independent verification.

  • Rely on the vendor’s self-assessment questionnaire

    Why it's wrong here

    Vendor self-assessments may be biased and lack independent verification.

  • Review only public breach reports about the vendor

    Why it's wrong here

    Public breach reports are reactive and may not cover all security gaps.

About these practice questions

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JA

Written by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

This CAS-005 practice question is part of Courseiva's free CompTIA certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the CAS-005 exam.