CompTIA CASP+ Risk Management Test 5 with 100% Correct answers
1. What is the primary objective of risk management?
• A) To eliminate all risks
• B) To understand and minimize risk exposure
• C) To transfer all risks to third parties
• Answer: B) To understand and minimize risk exposure
• Explanation: The goal of risk management is to identify, assess, and minimize the exposure to
risks, thereby protecting the organization's assets and ensuring business continuity.
2. What does a risk assessment typically evaluate?
• A) Employee performance
• B) The effectiveness of marketing strategies
• C) The likelihood and impact of identified risks
• Answer: C) The likelihood and impact of identified risks
• Explanation: A risk assessment evaluates both the likelihood of risks occurring and the potential
impact they would have on the organization.
3. Which document outlines an organization’s approach to risk management?
• A) Business plan
• B) Risk management policy
• C) Employee handbook
• Answer: B) Risk management policy
• Explanation: A risk management policy provides a framework and guidelines for how risks are to
be managed within an organization.
4. Which of the following best describes qualitative risk analysis?
• A) Using numerical values to represent risks
• B) Assessing risks based on subjective judgment
• C) Conducting audits of financial statements
• Answer: B) Assessing risks based on subjective judgment
• Explanation: Qualitative risk analysis involves evaluating risks based on non-numeric factors,
such as expert opinions and historical data, to determine their potential impact and likelihood.
5. What is the purpose of risk treatment?
• A) To ignore potential threats
• B) To implement measures to manage identified risks
• C) To increase the complexity of security measures
• Answer: B) To implement measures to manage identified risks
, • Explanation: Risk treatment involves selecting and implementing appropriate measures to
address identified risks, which can include mitigation, transfer, acceptance, or avoidance.
6. Which of the following is a risk avoidance strategy?
• A) Purchasing insurance
• B) Not engaging in an activity that introduces risk
• C) Implementing security controls
• Answer: B) Not engaging in an activity that introduces risk
• Explanation: Risk avoidance involves eliminating activities or processes that pose a risk, thereby
preventing the risk from impacting the organization.
7. What is a key benefit of performing a risk analysis?
• A) It guarantees that all risks will be eliminated
• B) It provides a clear understanding of risk exposure and priorities
• C) It reduces operational efficiency
• Answer: B) It provides a clear understanding of risk exposure and priorities
• Explanation: Risk analysis helps organizations understand their risk landscape, allowing them to
prioritize risks and allocate resources effectively.
8. Which risk assessment technique uses scenarios to identify risks?
• A) Quantitative analysis
• B) Scenario analysis
• C) Cost-benefit analysis
• Answer: B) Scenario analysis
• Explanation: Scenario analysis involves creating detailed scenarios to explore potential risks and
their implications, helping organizations identify and prepare for various risk situations.
9. What does the term “residual risk” refer to?
• A) Risk before any mitigation measures are applied
• B) Risk that remains after security controls are implemented
• C) Risk that can be transferred to another party
• Answer: B) Risk that remains after security controls are implemented
• Explanation: Residual risk is the remaining risk after all known mitigation measures have been
applied, reflecting the reality of risk management.
10. Which of the following best describes a risk register?
• A) A financial statement of the organization
• B) A tool for documenting and managing identified risks
• C) A list of employees in the organization
• Answer: B) A tool for documenting and managing identified risks
• Explanation: A risk register is a centralized repository that documents identified risks, their
assessment, and the actions taken to manage them.
1. What is the primary objective of risk management?
• A) To eliminate all risks
• B) To understand and minimize risk exposure
• C) To transfer all risks to third parties
• Answer: B) To understand and minimize risk exposure
• Explanation: The goal of risk management is to identify, assess, and minimize the exposure to
risks, thereby protecting the organization's assets and ensuring business continuity.
2. What does a risk assessment typically evaluate?
• A) Employee performance
• B) The effectiveness of marketing strategies
• C) The likelihood and impact of identified risks
• Answer: C) The likelihood and impact of identified risks
• Explanation: A risk assessment evaluates both the likelihood of risks occurring and the potential
impact they would have on the organization.
3. Which document outlines an organization’s approach to risk management?
• A) Business plan
• B) Risk management policy
• C) Employee handbook
• Answer: B) Risk management policy
• Explanation: A risk management policy provides a framework and guidelines for how risks are to
be managed within an organization.
4. Which of the following best describes qualitative risk analysis?
• A) Using numerical values to represent risks
• B) Assessing risks based on subjective judgment
• C) Conducting audits of financial statements
• Answer: B) Assessing risks based on subjective judgment
• Explanation: Qualitative risk analysis involves evaluating risks based on non-numeric factors,
such as expert opinions and historical data, to determine their potential impact and likelihood.
5. What is the purpose of risk treatment?
• A) To ignore potential threats
• B) To implement measures to manage identified risks
• C) To increase the complexity of security measures
• Answer: B) To implement measures to manage identified risks
, • Explanation: Risk treatment involves selecting and implementing appropriate measures to
address identified risks, which can include mitigation, transfer, acceptance, or avoidance.
6. Which of the following is a risk avoidance strategy?
• A) Purchasing insurance
• B) Not engaging in an activity that introduces risk
• C) Implementing security controls
• Answer: B) Not engaging in an activity that introduces risk
• Explanation: Risk avoidance involves eliminating activities or processes that pose a risk, thereby
preventing the risk from impacting the organization.
7. What is a key benefit of performing a risk analysis?
• A) It guarantees that all risks will be eliminated
• B) It provides a clear understanding of risk exposure and priorities
• C) It reduces operational efficiency
• Answer: B) It provides a clear understanding of risk exposure and priorities
• Explanation: Risk analysis helps organizations understand their risk landscape, allowing them to
prioritize risks and allocate resources effectively.
8. Which risk assessment technique uses scenarios to identify risks?
• A) Quantitative analysis
• B) Scenario analysis
• C) Cost-benefit analysis
• Answer: B) Scenario analysis
• Explanation: Scenario analysis involves creating detailed scenarios to explore potential risks and
their implications, helping organizations identify and prepare for various risk situations.
9. What does the term “residual risk” refer to?
• A) Risk before any mitigation measures are applied
• B) Risk that remains after security controls are implemented
• C) Risk that can be transferred to another party
• Answer: B) Risk that remains after security controls are implemented
• Explanation: Residual risk is the remaining risk after all known mitigation measures have been
applied, reflecting the reality of risk management.
10. Which of the following best describes a risk register?
• A) A financial statement of the organization
• B) A tool for documenting and managing identified risks
• C) A list of employees in the organization
• Answer: B) A tool for documenting and managing identified risks
• Explanation: A risk register is a centralized repository that documents identified risks, their
assessment, and the actions taken to manage them.
