CRISC Risk Response and Reporting Practice Question
An organization's risk committee is reviewing a consolidated IT risk report before a board meeting. The report shows that a critical payment system has a residual risk rating above tolerance, but the remediation project is not scheduled to complete for nine months due to vendor dependencies. The committee must decide how to report this to the board. Which of the following is the MOST appropriate action?
⚠ Common exam trap
The trap here is assuming that an active remediation project removes the need for board involvement, when risk above tolerance still requires formal acceptance until the fix is complete.
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
✓
Recommend that the board formally accept the risk above tolerance until remediation completes, documenting the rationale and interim compensating controls.
Residual risk above tolerance that cannot be remediated promptly requires formal acceptance by the governing body. The committee should present the timeline, the vendor dependency, and any compensating controls so the board can make an informed decision. Concealing the timeline, relabeling the risk, or delaying the report all deprive the board of information it needs and violate reporting integrity.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Delay the board report until the remediation project completes so the report shows only risks within tolerance.
Why it's wrong here
Withholding the report for nine months leaves the board unaware of a significant exposure during the period when oversight matters most. Risk reporting cadence should be independent of remediation timelines, with open items disclosed as they stand. Deferring disclosure contradicts the committee's duty to keep the board informed.
- ✓
Recommend that the board formally accept the risk above tolerance until remediation completes, documenting the rationale and interim compensating controls.
Why this is correct
When residual risk exceeds tolerance and cannot be remediated within the desired timeframe, the governing body must formally accept it with documented rationale. Presenting the timeline, the reason for the delay, and any compensating controls gives the board the information needed to make an informed acceptance decision. This preserves transparency and accountability.
- ✗
Report the risk as being addressed by the remediation project and omit the completion timeline to avoid alarming the board.
Why it's wrong here
Omitting the nine-month timeline withholds material information the board needs to judge exposure and allocate oversight attention. Concealing the duration of elevated risk undermines the transparency principle that governs risk reporting to governing bodies. This approach would also expose the committee to criticism if the delay later becomes known.
- ✗
Reclassify the residual risk as inherent risk so the rating falls within the board-approved tolerance threshold.
Why it's wrong here
Reclassifying the risk changes only the label, not the actual exposure, and misrepresents the organization's position to the board. Inherent and residual risk are distinct measures, and substituting one for the other to fit a threshold is a reporting integrity violation. This action would mislead decision-makers rather than inform them.
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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
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