Integrate GRC into AI Projects CY0-001 Practice Questions (Page 3)

Questions 11–15

1. 11foundation · easy

   What is the purpose of continuous monitoring in AI GRC?

   • ATo replace the need for periodic audits
   • BTo detect and respond to emerging risks and compliance issues over time
   • CTo ensure that AI models never change after deployment
   • DTo reduce the need for stakeholder engagement
   Reveal Solution Discussion Select an answer first
2. 12expert · hard

   An autonomous vehicle company is deploying AI for real-time decision-making. The system must comply with safety regulations and minimize the risk of accidents. The company also faces pressure to launch quickly to stay competitive. Which risk management approach best balances safety and speed?

   • AConduct extensive safety testing and obtain regulatory approval before launch.
   • BUse simulation testing only to speed up the process.
   • CLaunch the system with a limited beta to gather real-world data quickly.
   • DRely on the AI system's self-learning capabilities to improve safety over time.
   Reveal Solution Discussion Select an answer first
4. 13expert · hard

   A financial regulator is evaluating an AI system used by a bank for credit scoring. The regulator requires that the bank demonstrate compliance with fair lending laws and explain the model's decisions. The bank wants to use a complex deep learning model for accuracy. Which approach best satisfies both requirements?

   • AUse the deep learning model and hire a third-party to explain its decisions.
   • BUse a simpler, interpretable model that can be explained to the regulator.
   • CUse the deep learning model and provide a general explanation of how it works.
   • DUse the deep learning model and argue that accuracy is more important than explainability.
   Reveal Solution Discussion Select an answer first
5. 14application · medium

   A hospital is developing an AI tool to assist doctors in diagnosing skin conditions. The medical board and patient advocacy groups want to be involved in the project. Which stakeholder engagement strategy is most effective?

   • ACreate an advisory committee that includes clinicians, patients, and ethicists to review the AI system.
   • BShare the AI's performance metrics with the medical board only.
   • CRely on the AI vendor's internal testing to ensure safety and efficacy.
   • DConduct a public survey after the AI is deployed to gather feedback.
   Reveal Solution Discussion Select an answer first
6. 15application · medium

   An insurance company is using AI to set premiums. The model uses historical claims data that may reflect past discriminatory practices. The compliance team is concerned about regulatory penalties. Which risk mitigation strategy is most appropriate?

   • AConduct a fairness audit and adjust the model to reduce disparate impact.
   • BIgnore the historical bias because the model is only used for new customers.
   • CReplace the model with a simpler linear regression to avoid bias.
   • DContinue using the model and document the historical context as justification.
   Reveal Solution Discussion Select an answer first