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CAS-004 Practice Question: A multinational corporation is migrating its data…

A multinational corporation is migrating its data centers to a hybrid cloud model. The security team must ensure that data sovereignty laws are respected. The company operates in the EU, US, and Asia. Which of the following is the BEST approach?

⚠ Common exam trap

Many candidates confuse data sovereignty with data security, assuming encryption or VPNs (Options B and C) satisfy legal residency requirements, when in fact they only protect data in transit or at rest without controlling where the data physically resides.

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 cloud regions in each geographic area where data is stored and processed.

Using cloud regions in each geographic area ensures data remains within the jurisdiction where it was collected, directly complying with data sovereignty laws such as the EU's GDPR, US state laws, and Asia-Pacific regulations. This approach leverages the cloud provider's regional boundaries to enforce legal data residency without relying on technical controls that can be circumvented or misconfigured.

Answer analysis

Option-by-option breakdown

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

  • Require all employees to sign a data processing agreement.

    Why it's wrong here

    DPAs govern data processing but do not control where data is stored.

  • Encrypt all data at rest and in transit using a single global encryption key.

    Why it's wrong here

    Encryption does not ensure data remains in a specific geographic location.

  • Implement a virtual private network between all data centers and cloud providers.

    Why it's wrong here

    VPN provides secure connectivity but does not enforce data sovereignty.

  • Use cloud regions in each geographic area where data is stored and processed.

    Why this is correct

    Cloud regions allow data to stay within jurisdictional boundaries.

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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.