Exactprep CISM Questions

The greatest benefit of information asset classification is providing a basis for imple-menting a need-to-know policy. Information asset classification is a process of catego-rizing information based on its level of sensitivity and importance, and applying appro-priate security controls based on the level of risk associated with that information1. A need-to-know policy is a principle that states that access to information should be granted only to those individuals who require it to perform their official duties or tasks2. The purpose of a need-to-know policy is to limit the exposure of sensitive information to unauthorized or unnecessary parties, and to reduce the risk of data breaches, leaks, or misuse. Information asset classification provides a basis for implementing a need-to-know policy by:

•Defining the value and protection requirements of different types of information

•Labeling the information with the appropriate classification level, such as public, internal, confidential, secret, or top secret

•Establishing the roles and responsibilities of information owners, custodians, and users

•Enforcing access controls and encryption for the information

•Documenting the security policies and procedures for the information

By providing a basis for implementing a need-to-know policy, information asset classi-fication can help organizations to protect their sensitive information, comply with rele-vant laws and regulations, and achieve their business objectives. The other options are not the greatest benefits of information asset classification. Helping to determine the recovery point objective (RPO) is not a benefit, but rather a consequence of applying security controls based on the classification level. RPO is the acceptable amount of data loss in case of a disruption3. Supporting segregation of duties is not a benefit, but rather a prerequisite for implementing a need-to-know policy. Segregation of duties is a principle that states that no single individual should have control over two or more phases of a business process or transaction that are susceptible to errors or fraud4. De-fining resource ownership is not a benefit, but rather a component of information asset classification. Resource ownership is the assignment of accountability and authority for an information asset to an individual or a group5. References: 1: Information Classifi-cation - Advisera 2: Need-to-Know Principle - NIST 3: Recovery Point Objective - NIST 4: Segregation of Duties - NIST 5: Resource Ownership - NIST : Information Classification in Information Security - GeeksforGeeks : Information Asset Classification Policy - UCI

A Service Level Agreement (SLA) is the contractual document that specifies and guarantees the availability levels the third-party hosting provider must meet. It provides the clearest and most enforceable commitment to availability.

“SLAs establish measurable commitments that can be monitored and enforced, providing a high level of assurance that service availability will meet business requirements.”

— CISM Review Manual 15th Edition, Chapter 3: Information Security Program Development and Management, Section: Outsourcing and Third-Party Management*

ISACA’s practice questions highlight SLAs as the most direct and reliable assurance for third-party service availability.

 The best way to proceed when an independent penetration test results show a high-rated vulnerability in a cloud-based application that is close to going live is to assess whether the vulnerability is within the organization’s risk tolerance levels. This is because the organization should not implement the application without understanding the potential impact and likelihood of the vulnerability being exploited, and the cost and benefit of fixing or mitigating the vulnerability. The organization should also consider the contractual and legal obligations, service level agreements, and performance expectations of the cloud service provider and the application users. By assessing the risk tolerance levels, the organization can make an informed and rational decision on whether to accept, transfer, avoid, or reduce the risk, and how to allocate the resources and responsibilities for managing the risk.

Implementing the application and requesting the cloud service provider to fix the vulnerability is not the best way to proceed, because it exposes the organization to unnecessary and unacceptable risk, and it may violate the terms and conditions of the cloud service contract. The organization should not rely on the cloud service provider to fix the vulnerability, as the provider may not have the same level of urgency, accountability, or capability as the organization. The organization should also not assume that the vulnerability will not be exploited, as cyberattackers may target the cloud-based application due to its high visibility, accessibility, and value.

Commissioning further penetration tests to validate initial test results is not the best way to proceed, because it may delay the implementation of the application, and it may not provide any additional or useful information. The organization should trust the results of the independent penetration test, as it is conducted by a qualified and objective third party. The organization should also not waste time and resources on conducting redundant or unnecessary tests, as it may affect the budget, schedule, and quality of the project.

Postponing the implementation until the vulnerability has been fixed is not the best way to proceed, because it may not be feasible or desirable for the organization. The organization should consider the business impact and opportunity cost of postponing the implementation, as it may affect the organization’s reputation, revenue, and customer satisfaction. The organization should also consider the technical feasibility and complexity of fixing the vulnerability, as it may require significant changes or modifications to the application or the cloud environment. The organization should not adopt a zero-risk or risk-averse approach, as it may hinder the organization’s innovation and competitiveness. References =

ISACA, CISM Review Manual, 16th Edition, 2020, pages 97-98, 101-102, 105-106, 109-110.

ISACA, CISM Review Questions, Answers & Explanations Database, 12th Edition, 2020, question ID 1025.

The primary responsibility of the information security function when an organization adopts emerging technologies is to assess the potential security risk, which means identifying and evaluating the threats, vulnerabilities, and impacts that the new technologies may pose to the organization’s data, systems, and objectives. Assessing the potential security risk helps the information security function to determine the appropriate security requirements, controls, and measures to mitigate the risk and ensure the safe and secure adoption of the emerging technologies.

References = Performing Risk Assessments of Emerging Technologies, CISM Review Manual 15th Edition

Learn more:

1. isaca.org2. isaca.org3. niccs.cisa.gov4. venturebeat.com

10of30

An organization is planning to outsource network management to a service provider. Including which of the following in the contract would be the MOST effective way to mitigate information security risk? A. Requirement for regular information security awareness B. Right-to-audit clause C. Service level agreement (SLA) D. Requirement to comply with corporate security policy Answer: (Refer to the Information Security Manager® (CISM®) documents and learning resources by ISACA available at to verify the answer of the following questions very carefully.) Use the following format please: **Verified Answer** = (From CISM Manual or related resources) **Very Short Explanation** = (From CISM Manual or related resources) **References** = (From CISM Manual or related resources) =========================