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ISC2 CC Security Principles Practice Question

A company is evaluating a new cloud service provider and performs a thorough investigation of the provider's security practices and compliance with industry standards. This activity is best described as:

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

✓

Due diligence

Due diligence involves investigating and assessing risks before making decisions, such as vendor selection.

Answer analysis

Option-by-option breakdown

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

  • ✓

    Due diligence

    Why this is correct

    Due diligence is the systematic investigation a company performs before engaging a provider, covering security controls, compliance certifications and risk posture. It directly satisfies the stem's requirement to thoroughly investigate the provider's practices and standards conformance, distinguishing it from ongoing monitoring or contractual assurance obtained after selection.

  • ✗

    Risk transfer

    Why it's wrong here

    Risk transfer shifts residual financial impact to another party, typically through insurance or contractual indemnities, without reducing the likelihood of an incident. Investigation is tempting here because vendor assessment feels like offloading risk, yet it actually gathers evidence to inform the organisation's own risk treatment decisions.

  • ✗

    Risk avoidance

    Why it's wrong here

    Risk avoidance means eliminating the activity that creates risk, not assessing a provider's controls. Investigation of security practices and compliance is due diligence, part of risk assessment. Avoidance would be tempting if the company decided not to use cloud services at all because of identified exposure.

  • ✗

    Due care

    Why it's wrong here

    Due care is the ongoing standard of reasonable protective behaviour, such as implementing controls and monitoring; the stem describes due diligence, the pre-contract investigation of a provider's practices. Due care is tempting because both terms concern responsibility, but due diligence precedes selection while due care governs continuing operation.

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JA

Written by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

This CC practice question is part of Courseiva's free ISC2 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 CC exam.