OCEG GRCA Exam Questions

Risk is defined as a measure of the desirable effect of uncertainty on objectives. According to the ISO 31000 standard, risk is 'the effect of uncertainty on objectives' which can be either positive (opportunity) or negative (threat). This definition encompasses the uncertainty that can impact the achievement of goals and objectives. It highlights that risk is not just about potential losses but also about potential gains that come from taking risks. Reference:

ISO 31000:2018 - Risk management -- Guidelines

NIST SP 800-30 Rev. 1 - Guide for Conducting Risk Assessments

Proactive controls are those measures implemented to prevent undesirable events before they occur. Promoting controls are designed to encourage desired behaviors and outcomes, such as compliance with policies and procedures. Preventive controls are aimed at stopping undesirable events or actions before they happen, such as implementing security measures to prevent unauthorized access. Both types of controls are essential for effective risk management and ensuring the security and integrity of an organization's processes and systems. Reference:

COSO Internal Control -- Integrated Framework

ISO/IEC 27002:2013 - Information technology - Security techniques - Code of practice for information security controls

A NEGATIVE assurance opinion or statement indicates that, based on the procedures performed and evidence obtained, the assurance provider did not identify any reasons to believe that the subject matter does not conform to the applicable criteria. This form of opinion does not provide absolute assurance but rather limited assurance, suggesting that nothing came to the auditor's attention that causes them to believe the subject matter is not fairly stated. Reference:

AICPA Auditing Standards

IIA Standards for the Professional Practice of Internal Auditing

It is important to confirm observations and recommendations with personnel who conduct the work being assessed. Engaging with them ensures accuracy and relevance in the findings and recommendations, as they provide context and insights that the assurance team might not have. This collaboration helps to avoid misunderstandings and ensures that the recommendations are practical and feasible for implementation. Reference:

ISO 19011:2018 - Guidelines for auditing management systems

COSO Internal Control -- Integrated Framework

The parameters of an assessment include Scope, Criteria, and Nature of Testing. These elements define the boundaries and focus of the assessment:

Scope: Defines the areas, processes, and activities to be assessed.

Criteria: Specifies the standards, policies, and regulations against which the assessment will be conducted.

Nature of Testing: Describes the types and extent of testing procedures that will be employed to gather evidence and evaluate compliance and performance.

These parameters ensure that the assessment is well-structured, targeted, and aligned with the objectives and requirements of the organization. Reference:

ISO 19011:2018 - Guidelines for auditing management systems

COSO Internal Control -- Integrated Framework