GRC Principles and Models 2

Question 1

Which GRC model principle emphasizes that risk management activities should be proportional to the size and complexity of the organization?

Accepted Answer

Scalability

Answer

Scalability ensures that GRC frameworks are appropriately sized and tailored to the organization's complexity, not applied in a one-size-fits-all manner.

Question 2

In the Three Lines of Defense model, who is responsible for the SECOND line of defense?

Accepted Answer

Risk management and compliance functions

Answer

The second line consists of risk management, compliance, and control functions that oversee and provide guidance to the first line.

Question 3

Which principle of GRC holds that all significant decisions and their rationale should be documented and available for review?

Accepted Answer

Auditability

Answer

Auditability requires that decisions, processes, and outcomes are documented so they can be independently reviewed and verified.

Question 4

The COSO ERM framework was updated in 2017 to emphasize which key integration?

Accepted Answer

Integration of strategy and performance with risk management

Answer

The 2017 COSO ERM update explicitly linked enterprise risk management to strategy-setting and performance management.

Question 5

Which GRC principle ensures that the same risk assessment methodology is applied across all business units and departments?

Accepted Answer

Consistency

Answer

Consistency in GRC means applying uniform criteria, methods, and standards so results are comparable across the organization.

(GRC) Governance, Risk, and Compliance Certification Practice Test

(GRC) Governance, Risk, and Compliance Certification Practice Test

GRC Principles and Models 2