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CISA Practice Question: During the feasibility study for a new inventory…

During the feasibility study for a new inventory system, the project team identifies that the expected benefits are significantly lower than the initial estimates. What is the MOST appropriate action for the IS auditor to recommend?

⚠ Common exam trap

A common mix-up: candidates confuse the need for immediate project cancellation (Option B) with proper project governance, but the correct approach is to first re-evaluate the feasibility study to determine if the project can be salvaged with a revised business case.

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

Re-evaluate the feasibility study and update the business case.

When expected benefits fall significantly below initial estimates, the IS auditor should recommend re-evaluating the feasibility study and updating the business case. This ensures that the project's justification is based on current, accurate data before proceeding, which is a key control in the systems development lifecycle (SDLC) to prevent investment in a project that may no longer deliver adequate value.

Answer analysis

Option-by-option breakdown

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

  • Proceed with the project as planned, focusing on cost reduction.

    Why it's wrong here

    Proceeding without reassessment ignores the discrepancy.

  • Cancel the project immediately and document lessons learned.

    Why it's wrong here

    Cancellation without further analysis may be premature.

  • Continue with the project but postpone the benefits realization.

    Why it's wrong here

    Postponing does not address the root cause.

  • Re-evaluate the feasibility study and update the business case.

    Why this is correct

    Re-evaluation ensures accurate decision-making based on current data.

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Written by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

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