Question 1mediummultiple choice
Full question →mediummultiple choiceObjective-mapped
A company is evaluating a new cloud-based customer relationship management (CRM) provider. The provider’s documentation includes a SOC 2 Type II report, but the company’s compliance team specifically requires evidence that data in transit is encrypted using TLS 1.2 or higher, and data at rest is encrypted with AES-256. Which of the following actions best demonstrates that the company has performed proper due diligence in vendor risk management?
Answer choices
Why each option matters
Good practice is not just finding the correct option. The wrong answers often show the exact trap the exam wants you to fall into.
A
Distractor review
Request the provider to sign a contractual service-level agreement (SLA) that guarantees encryption compliance.
An SLA is a legal commitment, not evidence that controls are actually in place or effective. It does not replace verifying the provider’s actual implementation. While an SLA can be part of a contract, it should not be the sole basis for due diligence when audit reports are available.
B
Distractor review
Accept the SOC 2 Type II report as sufficient and proceed without further review.
Simply accepting the existence of a SOC 2 report without examining its details does not confirm that specific encryption requirements (TLS 1.2+ and AES-256) are covered. A SOC 2 report may cover many controls, but the company must verify that the exact control objectives and testing results match its own requirements.
C
Best answer
Review the detailed control descriptions and auditor test results within the SOC 2 Type II report that address encryption of data in transit and at rest.
A SOC 2 Type II report includes a detailed description of controls, the control objectives, and the results of the auditor’s testing over a period of time. Reviewing these specific sections allows the company to verify that encryption controls are designed and operating effectively, which satisfies due diligence requirements for third-party risk management.
D
Distractor review
Conduct an independent penetration test on the provider’s infrastructure before signing the contract.
While a penetration test can identify vulnerabilities, it is an additional cost and may not cover all encryption implementations. More importantly, a SOC 2 Type II report already provides audited evidence of control effectiveness; a penetration test would be redundant or complementary but is not the primary method for verifying encryption compliance during due diligence.
Common exam trap
Common exam trap: answer the scenario, not the keyword
Many certification questions include familiar terms but test a specific constraint. Read the exact wording before choosing an answer that is generally true but wrong for this case.
Technical deep dive
How to think about this question
This question should be treated as a scenario, not a definition check. Identify the problem, the constraint and the best action. Then compare each option against those facts.
KKey Concepts to Remember
- Read the scenario before looking for a memorised answer.
- Find the constraint that changes the correct option.
- Eliminate answers that are true in general but not in this case.
- Use explanations to understand the rule behind the answer.
TExam Day Tips
- Underline the problem statement mentally.
- Watch for words such as best, first, most likely and least administrative effort.
- Review why wrong options are wrong, not only why the correct option is correct.
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FAQ
Questions learners often ask
What does this SY0-701 question test?
Read the scenario before looking for a memorised answer.
What is the correct answer to this question?
The correct answer is: Review the detailed control descriptions and auditor test results within the SOC 2 Type II report that address encryption of data in transit and at rest. — Proper due diligence in vendor risk management involves verifying that the vendor’s security controls meet the company’s specific requirements, not just accepting broad attestations. A SOC 2 Type II report contains detailed descriptions of controls, including encryption practices, and an auditor has tested their operating effectiveness over a period of time. Reviewing the relevant control descriptions and test results within the report is the most direct and reliable way to confirm the required encryption standards are in place. The other options are either insufficient, create unnecessary cost, or fail to provide evidence of actual control effectiveness.
What should I do if I get this SY0-701 question wrong?
Then try more questions from the same exam bank and focus on understanding why the wrong options are tempting.
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