Risk Monitoring and Reporting CRISC Practice Questions (Page 6)

Questions 26–30

1. 26foundation · easy

   Which risk monitoring technique is best suited for detecting control failures in real-time or near real-time?

   • APost-incident review
   • BAnnual control self-assessment
   • CPeriodic internal audit
   • DContinuous monitoring
   Reveal Solution Discussion Select an answer first
2. 27foundation · easy

   Which of the following is the best example of a Key Control Indicator (KCI)?

   • APercentage of purchase orders that required a second approval
   • BNumber of fraud incidents reported in the last quarter
   • CAverage time to close a financial period
   • DCustomer satisfaction score for the support team
   Reveal Solution Discussion Select an answer first
4. 28foundation · easy

   How should an emerging risk be presented in a report to stakeholders to be most effective?

   • AAs a confirmed risk with a precise likelihood and impact score
   • BAs a potential risk with a clear description of the current uncertainty
   • CAs a low-priority item that requires no attention
   • DAs a fully developed risk response plan
   Reveal Solution Discussion Select an answer first
5. 29foundation · easy

   What is the primary advantage of using a dashboard for risk reporting?

   • AIt replaces the need for any other form of risk communication
   • BIt is the only format that can be used for regulatory reporting
   • CIt provides a detailed narrative of every risk event
   • DIt provides a visual summary of key risk indicators that can be understood quickly
   Reveal Solution Discussion Select an answer first
6. 30foundation · easy

   In the context of risk monitoring, how does a Key Control Indicator (KCI) differ from a Key Performance Indicator (KPI)?

   • AA KCI is a lagging indicator, while a KPI is a leading indicator
   • BA KCI is used for risk reporting, while a KPI is used for financial reporting
   • CA KCI measures the effectiveness of a control, while a KPI measures the performance of a process or activity
   • DA KCI is a qualitative measure, while a KPI is a quantitative measure
   Reveal Solution Discussion Select an answer first