CISM Information Security Risk Management Practice Question
This CISM practice question tests your understanding of information security risk management. 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.
Which THREE of the following are valid risk treatment options according to ISO 31000? (Select exactly three.)
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Risk transfer (sharing)
Option B is correct because ISO 31000 defines risk transfer (sharing) as a valid risk treatment option, where the risk is shifted to another party, such as through insurance or outsourcing. This is a standard approach in information security risk management to reduce the financial impact of a risk event.
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.
✗
Risk elimination
Why it's wrong here
Elimination is not a separate option; it is part of avoidance.
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Risk transfer (sharing)
Why this is correct
Transfer involves sharing risk with another party, e.g., insurance.
Related concept
Read the scenario before looking for a memorised answer.
✓
Risk avoidance
Why this is correct
Avoidance means deciding not to start or continue activity that gives rise to risk.
Related concept
Read the scenario before looking for a memorised answer.
✓
Risk mitigation (reduction)
Why this is correct
Mitigation involves actions to reduce likelihood or impact.
Related concept
Read the scenario before looking for a memorised answer.
✗
Risk deferral
Why it's wrong here
Deferral is not a recognized ISO 31000 treatment option.
Common exam traps
Common exam trap: answer the scenario, not the keyword
ISACA often tests the distinction between 'risk elimination' and 'risk avoidance' to trap candidates who confuse the two, as elimination implies complete removal of the risk source, which is rarely achievable in information security, while avoidance means not engaging in the risky activity at all.
Detailed technical explanation
How to think about this question
ISO 31000:2018 defines risk treatment as the process of selecting and implementing measures to modify risk, with options including risk avoidance, risk sharing, risk reduction, and risk retention. In practice, risk transfer often involves contractual agreements like cyber insurance policies that specify coverage limits and exclusions, or outsourcing to a managed security service provider (MSSP) that assumes liability for specific threats. The standard emphasizes that risk treatment should be proportionate to the risk level and aligned with organizational objectives.
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 small business has 20 workstations on the 192.168.1.0/24 network and one public IP from its ISP. The router uses PAT (NAT overload) so all 20 devices share one public address using different source ports. NAT questions test whether you understand the four address terms and which direction each translation applies.
What to study next
Got this wrong? Here's your next step.
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
Information Security Risk Management — This question tests Information Security Risk Management — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Risk transfer (sharing) — Option B is correct because ISO 31000 defines risk transfer (sharing) as a valid risk treatment option, where the risk is shifted to another party, such as through insurance or outsourcing. This is a standard approach in information security risk management to reduce the financial impact of a risk event.
What should I do if I get this CISM 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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Question Discussion
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