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CAS-005 · Question #271

CAS-005 Question #271: Real Exam Question with Answer & Explanation

The correct answer is D: Appetite. Risk appetite defines the level of residual risk an organization is willing to accept. The CIO must clarify this to guide remediation activities and align business continuity practices with organizational tolerance.

Submitted by anna_se· Mar 6, 2026Governance, Risk, and Compliance

Question

An organization determines existing business continuity practices are inadequate to support critical internal process dependencies during a contingency event. A compliance analyst wants the Chief Information Officer (CIO) to identify the level of residual risk that is acceptable to guide remediation activities. Which of the following does the CIO need to clarify?

Options

  • AMitigation
  • BImpact
  • CLikelihood
  • DAppetite

Explanation

Risk appetite defines the level of residual risk an organization is willing to accept. The CIO must clarify this to guide remediation activities and align business continuity practices with organizational tolerance.

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