CISA Practice Question: Information Systems Acquisition, Development, and Implementation
An organization is considering acquiring a commercial off-the-shelf (COTS) ERP system. Which of the following risks is most effectively mitigated by including a contractual clause for audit rights?
⚠ Common exam trap
CISA often tests the misconception that audit rights mitigate all vendor-related risks, but they specifically address security and compliance verification, not technical compatibility, data portability, or cost control.
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
✓
Inadequate vendor security controls
A contractual clause for audit rights allows the organization to assess the vendor's security controls, ensuring they meet the organization's requirements and mitigating the risk of inadequate vendor security. This is critical because the organization relies on the vendor to protect its data, and without audit rights, it cannot verify the effectiveness of the vendor's controls. The other risks are not directly addressed by audit rights: incompatibility is a technical integration issue, vendor lock-in relates to data portability, and cost overruns stem from project management.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Incompatibility with existing infrastructure
Why it's wrong here
Audit rights provide visibility into vendor controls and records; they do not verify whether the ERP integrates with the organisation's existing systems. Infrastructure compatibility is addressed through technical fit-gap analysis and proof-of-concept testing before acquisition. Audit clauses suit scenarios requiring assurance over vendor compliance, security or data handling.
- ✓
Inadequate vendor security controls
Why this is correct
Audit rights clauses let the organisation inspect the vendor's control environment, obtain evidence and enforce remediation, directly addressing the risk that the vendor's security controls are inadequate. Without this contractual leverage, assurance over a COTS ERP's hosted processing depends solely on the vendor's own reporting.
- ✗
Vendor lock-in due to proprietary data formats
Why it's wrong here
Vendor lock-in from proprietary formats is mitigated through data ownership, exit and portability clauses, not audit rights. Audit rights let the organisation inspect vendor controls and records. Lock-in risk requires contractual guarantees of data escrow, standard export formats and transition assistance, which an audit clause alone does not deliver.
- ✗
Cost overruns from customization
Why it's wrong here
Audit rights grant the organisation access to vendor records and controls, addressing assurance over vendor operations, not commercial cost exposure. Customisation overruns are controlled through fixed-price terms, change-control procedures and scope governance. Audit clauses would be the right mechanism where the risk concerns vendor compliance or processing integrity.
Go deeper
Related to this question
About these practice questions
Courseiva writes every CISA question from scratch — 934 in total, each with an explanation and a wrong-answer breakdown. None are copied from real exams or dumps. Learn why practice questions differ from exam dumps →
JA
Written and reviewed by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
Last reviewed September 2026 · checked against the official ISACA exam blueprint
This CISA practice question is part of Courseiva's free ISACA 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 CISA exam.