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ISACA CRISC Exam (page: 27)
ISACA Certified in Risk and Information Systems Control
Updated on: 25-Dec-2025

Viewing Page 27 of 361
CRISC PDF 1895 Questions

You work as a project manager for BlueWell Inc. Your project is using a new material to construct a large warehouse in your city. This new material is cheaper than traditional building materials, but it takes some time to learn how to use the material properly. You have communicated to the project stakeholders that you will be able to save costs by using the new material, but you will need a few extra weeks to complete training to use the materials. This risk response of learning how to use the new materials can also be known as what term?

  1. Benchmarking
  2. Cost-benefits analysis
  3. Cost of conformance to quality
  4. Team development

Answer(s): C

Explanation:

When the project team needs training to be able to complete the project work it is a cost of conformance to quality.

The cost of conformance to quality defines the cost of training, proper resources, and the costs the project must spend in order to ascertain the expected levels of quality the customer expects from the project. It is the capital used up throughout the project to avoid failures. It consists of two types of costs:
Prevention costs: It is measured to build a quality product. It includes costs in training, document processing, equipment, and time to do it right.
Appraisal costs: It is measured to assess the quality. It includes testing, destructive testing loss, and inspections.

Incorrect Answers:
A: Benchmarking compares any two items, such as materials, vendors, or resources.

B: Cost-benefit analysis is the study of the benefits in relation to the costs to receive the benefits of a decision, a project, or other investment.

D: Team development describes activities the project manager uses to create a more cohesive and responsive project team.



What is the PRIMARY objective difference between an internal and an external risk management assessment reviewer?

  1. In quality of work
  2. In ease of access
  3. In profession
  4. In independence

Answer(s): D

Explanation:

Independence is the freedom from conflict of interest and undue influence. By the mere fact that the external auditors belong to a different entity, their independence level is higher than that of the reviewer inside the entity for which they are performing a review. Independence is directly linked to objectivity.

Incorrect Answers:
A, B, C: These all choices vary subjectively.



You work as a Project Manager for www.company.com Inc. You have to measure the probability, impact, and risk exposure. Then, you have to measure how the selected risk response can affect the probability and impact of the selected risk event. Which of the following tools will help you to accomplish the task?

  1. Project network diagrams
  2. Delphi technique
  3. Decision tree analysis
  4. Cause-and-effect diagrams

Answer(s): C

Explanation:

Decision tree analysis is a risk analysis tool that can help the project manager in determining the best risk response. The tool can be used to measure probability, impact, and risk exposure and how the selected risk response can affect the probability and/or impact of the selected risk event. It helps to form a balanced image of the risks and opportunities connected with each possible course of action. This makes them mostly useful for choosing between different strategies, projects, or investment opportunities particularly when the resources are limited. A decision tree is a decision support tool that uses a tree-like graph or model of decisions and their possible consequences, including chance event outcomes, resource costs, and utility.

Incorrect Answers:
A: Project network diagrams help the project manager and stakeholders visualize the flow of the project work, but they are not used as a part of risk response planning.

B: The Delphi technique can be used in risk identification, but generally is not used in risk response planning. The Delphi technique uses rounds of anonymous surveys to identify risks.

D: Cause-and-effect diagrams are useful for identifying root causes and risk identification, but they are not the most effective ones for risk response planning.



Which of the following are external risk factors?
Each correct answer represents a complete solution. Choose three.

  1. Geopolitical situation
  2. Complexity of the enterprise
  3. Market
  4. Competition

Answer(s): A,C



Which of the following is an acceptable method for handling positive project risk?

  1. Exploit
  2. Avoid
  3. Mitigate
  4. Transfer

Answer(s): A

Explanation:

Exploit is a method for handling positive project risk. Incorrect Answers:
B, C, D: These are all responses which is used for negative risks, and not the positive risk.



Viewing Page 27 of 361



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