- A
Obtain certification from an ISO 27001 auditor
Why wrong: ISO 27001 is for information security, not specifically for AI systems.
- B
Publish the model's source code publicly
Why wrong: Open-source is not a requirement; proprietary systems are allowed.
- C
Register the AI system with the national data protection authority
Why wrong: Registration is not specifically required for all high-risk systems; conformity assessment is.
- D
Conduct a risk assessment and bias testing
The EU AI Act mandates a risk management system and bias audits for high-risk systems.
Question 121 of 1,000
AI0-001 AI Security, Ethics and Governance Practice Question
This AI0-001 practice question tests your understanding of ai security, ethics and governance. Read the scenario carefully and evaluate each option against the stated constraints before committing to an answer. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
A financial institution uses a deep learning model for loan approvals. Under the EU AI Act, this is considered a high-risk AI system. Which mandatory requirement must the institution fulfill before deployment?
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
✓
Conduct a risk assessment and bias testing
Under the EU AI Act, high-risk AI systems must undergo a conformity assessment that includes a risk assessment and bias testing to ensure fairness, transparency, and non-discrimination before deployment. This requirement is mandated by Articles 9 and 10 of the Act, which specifically address risk management and data governance for high-risk systems. Option D correctly identifies this mandatory step, as the institution must demonstrate that the model does not produce biased outcomes that could lead to discriminatory lending practices.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Obtain certification from an ISO 27001 auditor
Why it's wrong here
ISO 27001 is for information security, not specifically for AI systems.
- ✗
Publish the model's source code publicly
Why it's wrong here
Open-source is not a requirement; proprietary systems are allowed.
- ✗
Register the AI system with the national data protection authority
Why it's wrong here
Registration is not specifically required for all high-risk systems; conformity assessment is.
- ✓
Conduct a risk assessment and bias testing
Why this is correct
The EU AI Act mandates a risk management system and bias audits for high-risk systems.
Related concept
Read the scenario before looking for a memorised answer.
Common exam traps
Common exam trap: answer the scenario, not the keyword
Cisco often tests the misconception that all AI systems require public transparency or external certification, but the EU AI Act specifically mandates internal risk and bias assessments for high-risk systems, not broad publication or ISO standards.
Detailed technical explanation
How to think about this question
The risk assessment under Article 9 must identify and analyze known and foreseeable risks, including those arising from the system's intended purpose and reasonably foreseeable misuse, while bias testing under Article 10 requires evaluating training datasets for historical biases and ensuring representativeness. A subtle behavior is that the Act mandates continuous monitoring post-deployment, meaning the risk assessment is not a one-time event but part of an ongoing quality management system. In a real-world scenario, a loan approval model trained on biased historical data could systematically deny loans to protected groups, and the risk assessment must include metrics like demographic parity or equal opportunity to quantify and mitigate such bias.
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.
TExam Day Tips
- 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.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Real-world example
How this comes up in practice
A practitioner preparing for the AI0-001 exam encounters this exact type of scenario on the job. The correct answer here is not the most general option — it is the best answer for the specific constraint described. Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option. Real exam questions reward reading the full scenario before eliminating options, because the constraint defines which answer fits.
What to study next
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FAQ
Questions learners often ask
What does this AI0-001 question test?
AI Security, Ethics and Governance — This question tests AI Security, Ethics and Governance — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Conduct a risk assessment and bias testing — Under the EU AI Act, high-risk AI systems must undergo a conformity assessment that includes a risk assessment and bias testing to ensure fairness, transparency, and non-discrimination before deployment. This requirement is mandated by Articles 9 and 10 of the Act, which specifically address risk management and data governance for high-risk systems. Option D correctly identifies this mandatory step, as the institution must demonstrate that the model does not produce biased outcomes that could lead to discriminatory lending practices.
What should I do if I get this AI0-001 question wrong?
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
What is the key concept behind this question?
Read the scenario before looking for a memorised answer.
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Last reviewed: Jul 4, 2026
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