MIS 416 Exam #2 Study Guide

A decision is made to accept, avoid, transfer, or mitigate a risk is done in the risk evaluation stage. (T/F)

True

A gap analysis report documents differences between what is mitigated and what is NOT mitigated, resulting in a gap in security. (T/F)

True

A risk assessment ends with a report. (T/F)

True

A risk assessment provides a point-in-time report. (T/F)

True

A threshold KPI is significant when an index falls into a set range. (T/F)

True

Access controls testing verifies user rights and permissions. (T/F)

True

Action plans are a necessary output of the risk assessment process so that recommendations can be acted upon quickly once the assessment is approved.

True

Information security is a dynamic field because the risks fluctuate in a complex and, hence, not entirely predictable manner. (T/F)

True

KRIs measure how risky an activity is. (T/F)

True

Key Risk Indicators should be tied to one or more Key Performance Indexes. (T/F)

True

Logs need to be reviewed. (T/F)

True

ROSI = reduction in risk exposure / investment in countermeasures (T/F)

True

The relation between Controls and Threats is best described as?

Many-to-Many

Risk monitoring provides organization with the means to verify compliance, determine the effectiveness of risk measures, and identify risk-impacting changes to organizational information systems and environments of operations. (T/F)

True

The organizations level of security risk acceptance should be considered when selecting recommended safeguards. (T/F)

True

What type of control ensures that account management is secure?

account management controls

Which of the following is a Tier 1 risk monitoring activity?

ongoing threat assessments

What are the seven COBIT enablers?

principles, policies, and frameworks; processes; organizational structures; culture, ethics, and behavior; information; services, infrastructure, and applications; and people, skills, and competencies

What are the two primary goals when implementing a risk mitigation plan?

staying on schedule and in budget

After you collect data on risks and recommendations, you include that information in a report, and you give that report to management. Why do you do this?

to help management decide which recommendations to use

The ____________________ risk control strategy attempts to shift the risk to other assets, processes, or organizations.

transference

If there are three possible outcomes to an event, one of which has a probability of 40% and will cost you $4000 and one of which has a probability of 30% and which will cost you $1500, and another with a probability of 30% that will cost you $2500, what is your expected loss?

$2800

The final summary of risks, impacts, rationales, and treatments is called what?

A risk register

What is NOT a best practice for enabling a risk mitigation plan from your risk assessment?

Create a new POAM.

All of the following are KPI types except:

Esoteric

A KPx is a summary of one or more KRIs.

False

Which of the following is NOT a phase in the information security measurement system lifecycle?

Remove the measurement system

PRAGMATIC is a

Security Measurement System

Which of the following is a type of safeguard cost?

Training Cost

Organizations employ risk monitoring tools, techniques, and procedures to increase risk _____.

awareness

What is NOT one of the three primary objectives of controls?

eliminate

What is the first step in applying the RMF?

Categorize the information system and the information processed

It is important to understand that not all frameworks are created as equivalents. Let's look at the differences between FAIR and OCTAVE. Which statement is NOT true?

FAIR addresses a wider range of security and risk assessment issues than OCTAVE

In the risk management process, it is not important to identify who should be responsible for the various processes or steps. (T/F)

False

OCTAVE is one of the many frameworks available. Although heavy and labor intensive, it includes innovative approaches. One of the unique aspects of OCTAVE is the pools of mitigation approaches. The pools used include everything but?

Transfer

Change management is a process that ensures that changes are made only after a review process. (T/F)

True

Security risk decision variables include all the following aspects EXCEPT

Weakness of the security

The Microsoft Risk Management Approach includes four phases. Which of the following is NOT one of them?

evaluating alternative strategies

When a vulnerability (flaw or weakness) exists in an important asset, implement security controls to reduce the likelihood of a vulnerability being ___________.

exploited

What information should you include in your report for management when you present your recommendations?

findings, recommendation cost and time frame, and cost-benefit analysis

Which of the following describes an organization's efforts to reduce damage caused by a realized incident or disaster?

mitigation

To design a security program, an organization can use a(n) ____________________, which is a generic outline of the more thorough and organization-specific blueprint offered by a service organization.

security model

Which of the following can affect the state of risks?

- Supply Chain Changes - Personnel changes - Mergers

Select all of the following that risk monitoring allows organizations to do:

- Verify compliance - Determine the ongoing effectiveness of risk response measures - Identify risk-impacting changes to organization information systems

Risk monitoring provides organizations the means to...

- verify compliance - determine the ongoing effectiveness of risk response measures - identify risk-impacting changes to organizational information systems and environments of operation

Order the following for measuring and incorporating metrics.

1. Determine requirement 2. Business case 3. Design and select metric system 4. Develop metrics 5. Test metrics 6. Launch metrics 7. Manage measurements 8. Mature measurements

Place the following in the correct order for risk management.

1. identify risk 2. analyze risks 3. rank risks 4. treat risks 5. monitor and review risks

What portion of the risk assessment report is actually essential in ANY report?

A Good Executive Summary

Clear and effective security risk assessment reporting requires that the contents of the report be perceived as (check all that apply)

Accurate, nonthreatening, unambiguous, relevant

The final phase of the security risk assessment is to create a(n) ________ that addresses all security risks identified in the ___________.

Action plan, final report

_____ monitoring results gives organizations the capability to maintain awareness of the risk being incurred, highlight the need to revisit other steps in the risk management process, and initiate process improvement activities as needed.

Analyzing

In addition to the data captured in your risk assessment template, exceptions and mitigation plans need to include the following information EXCEPT:

Budget Process

What is a significant part of the step of evaluating controls and determining which controls to implement?

CBAs

Which of the following provides advice about the implementation of sound controls and control objectives for InfoSec, and was created by ISACA and the IT Governance Institute?

COBIT

You have created a risk assessment, and management has approved it. What do you do next?

Create a risk mitigation plan.

As a top-level executive at your own company, you are worried that your employees may steal confidential data too easily by downloading and taking home data onto thumb drives. What is the best way to prevent this from happening?

Create and enforce a written company policy against the use of thumb drives, and install a technical controls on the computers that will prevent the use of thumb drives.

What is NOT an example of an intangible value?

Data

A business impact analysis (BIA) is an output of the risk assessment process. (T/F)

False

Asset valuation is a listing or grouping of assets under an assessment. (T/F)

False

Change management ensures that similar systems have the same, or at least similar, configurations. (T/F)

False

Configuration management is the same as change management. (T/F)

False

FAIR's BRAG relies uses qualitative assessment of many risk components using scales with value ranges.

False

If an in-place countermeasure needs to be upgraded or replaced, you should disable or remove the countermeasure until the new or upgraded control can be installed in order to best reduce vulnerabilities. (T/F)

False

In information security, a framework or security model customized to an organization, including implementation details is known as a floor plan.

False

KPIs do not necessarily need to be tied to organizational strategy. (T/F)

False

Key Performance Indicators monitor risk appetite. (T/F)

False

Loss Before Countermeasure - Loss After Countermeasure = Countermeasure Value (T/F)

False

Organizations can only implement risk monitoring at risk management tiers 1 and 2. (T/F)

False

Planned safeguards are the same as approved controls. (T/F)

False

Risk mitigation plans help determine the numerical values for the risk formula, which is Risk = Threat x Vulnerability. (T/F)

False

The objective in risk assessment reporting is to assign blame to those who pose risks. (T/F)

False

The risk control strategy that attempts to eliminate or reduce any remaining uncontrolled risk through the application of additional controls and safeguards is the protect risk control strategy, also known as the avoidance strategy. (T/F)

False

The risk control strategy that attempts to shift risk to other assets, other processes, or other organizations is known as the defense risk control strategy. (T/F)

False

Which of the following is NOT risk evaluation step?

Identify the key components

All of the following are risk treatments in different frameworks except?

Ignore

ISO/IEC 27001 provides implementation details on how to implement ISO/IEC 27002 and how to set up a(n) ____________________.

Information security management system (ISMS)

A risk ____ could be a simple listing of identified risks, some of which are already assessed and others of which are still in the process of being qualified

Inventory

Which of the following is NOT one of the components of the COSO framework?

Meeting stakeholder needs

What does OCTAVE stand for?

Operationally Critical Threat, Asset, and Vulnerability Evaluation

Which of the following is NOT part of a risk report structure?

Risk Report Memorandum

Which of the following is a well-framed phrase used by the security risk assessment team when risk reporting?

Security awareness training is not completely effective for all users

What is Risk Acceptance?

The appropriate risk response when the identified risk is within the organizational risk tolerance.

Many firms and regulators refer to one or more Cybersecurity and/or risk assessment frameworks. However, firms sometimes create their own custom frameworks. Using a predefined framework has all of the following benefits except what?

The framework can be easier to implement for your specific organization

Continuous monitoring is necessary because security work is never done. (T/F)

True

Ensuring that controls are effective is a best practice for risk mitigating security controls. (T/F)

True

Good risk reporting should include tables and figures to visually convey information to the audience. (T/F)

True

In Information Security, KPIs measure the performance or health of Information Security. (T/F)

True

One of the ways to identify controls is to identify critical business functions and critical business operations. (T/F)

True

One or more KPIs can be included in a key performance index. (T/F)

True

Organizations can implement risk monitoring at any of the risk management tiers with different objectives and utility of information produced. (T/F)

True

Planned controls are controls that have been approved but not installed yet. (T/F)

True

The ISO 27005 Standard for InfoSec Risk Management includes a five-stage management methodology; among them are risk treatment and risk communication. (T/F)

True

The Information Technology Infrastructure Library (ITIL) defines the organizational structure and skill requirements of an IT organization and a set of standard operational procedures and practices that allow the organization to manage an IT operation and associated infrastructure. (T/F)

True

Which of the following is NOT a purpose of ISO/IEC 27001:2005?

Use to form information technology governance

Which of the following is NOT a valid rule of thumb on risk control strategy selection?

When the attacker's potential gain is less than the costs of attack: Apply protections to decrease the attacker's cost or reduce the attacker's gain, by using technical or operational controls.

Which of the following is a generic blueprint offered by a service organization which must be flexible, scalable, robust, and detailed?

framework & security model

Which of the following affects the cost of a control?

maintenance

Which of the following orders is consistent with the KPI, KPx and KRI formation?

metrics, KPI, KPx, KRI, Dashboard

Insurance, background checks, and security plans are all categories of ____________.

procedural controls

____________ mitigate(s) risk.

Contols

All of the following are risk treatments in different frameworks except?

Control

The risk control strategy were the organization is willing to accept the current level of risk and makes a conscious decision to do nothing to protect an information asset from risk and to accept the outcome from any resulting exploitation is known as the termination risk control strategy. (T/F)

False

The standard format that must be followed when writing a vulnerability assessment report requires that the vulnerability assessment includes the following sections: table of contents, executive summary, methods, results, and recommendations. (T/F)

False

There is only one way to format and organize a risk assessment report. (T/F)

False

Which of the following is NOT a step in the FAIR risk management framework?

assess control impact

In the COSO framework, ___________ activities include those policies and procedures that support management directives.

control

Which of the following describes the financial savings from using the defense risk control strategy to implement a control and eliminate the financial ramifications of an incident?

cost avoidance

Another term for data range and reasonableness checks is ______________.

input validation

What does FAIR's BRAG rely on to build the risk management framework that is unlike many other risk management frameworks?

quantitative valuation of safeguards