APRP Risk Assessment & Mitigation 2

Question 1

Which risk assessment methodology assigns numerical values to the likelihood and impact of a risk event to produce a prioritized risk score?

Accepted Answer

Quantitative risk analysis

Answer

Quantitative risk analysis uses numerical values (e.g., probability × impact) to calculate measurable risk scores for prioritization.

Question 2

A payments processor discovers that a merchant's chargeback ratio has risen from 0.4% to 1.1% over 90 days. What is the FIRST mitigation action?

Accepted Answer

Place the merchant on enhanced monitoring and require a remediation plan

Answer

Enhanced monitoring and a formal remediation plan allow the processor to understand root causes before taking more severe actions like termination.

Question 3

In the context of payments risk, what does 'residual risk' mean?

Accepted Answer

Risk remaining after controls have been applied

Answer

Residual risk is the level of risk that persists after mitigating controls have been implemented, representing the organization's net exposure.

Question 4

Which of the following is an example of risk transfer in a payments organization?

Accepted Answer

Purchasing cyber liability insurance

Answer

Cyber liability insurance transfers the financial consequences of certain risk events to the insurer rather than the organization absorbing them.

Question 5

A risk heat map is used primarily to:

Accepted Answer

Visually prioritize risks by plotting likelihood against impact

Answer

A risk heat map provides a two-dimensional visual representation that helps stakeholders quickly identify which risks warrant the most attention.

APRP - Accredited Payments Risk Professional Practice Test