CAS-004 Governance, Risk, and Compliance Practice Question
An organization's security policy defines that all sensitive data must be encrypted. However, a business unit has a legacy application that cannot support encryption without a major rewrite. The risk owner decides to accept the risk. This is an example of which risk treatment strategy?
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
✓
Risk acceptance
Risk acceptance is acknowledging the risk and deciding to tolerate it without additional controls, often documented in a risk register.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✓
Risk acceptance
Why this is correct
The risk owner formally accepts the residual risk.
- ✗
Risk mitigation
Why it's wrong here
Mitigation would involve implementing controls to reduce the risk.
- ✗
Risk transfer
Why it's wrong here
Transfer would involve shifting the risk to a third party, e.g., insurance.
- ✗
Risk avoidance
Why it's wrong here
Avoidance would mean not using the application or discontinuing the process.
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JA
Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
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