For IndividualsFor Educators
ExpertMinds LogoExpertMinds
ExpertMinds

Ace your certifications with Practice Exams and AI assistance.

  • Browse Exams
  • For Educators
  • Blog
  • Privacy Policy
  • Terms of Service
  • Cookie Policy
  • Support
  • AWS SAA Exam Prep
  • PMI PMP Exam Prep
  • CPA Exam Prep
  • GCP PCA Exam Prep

© 2026 TinyHive Labs. Company number 16262776.

    PracticeCPA®CPA ISC Practice Exam 3Question 81
    Medium1 markMultiple Choice
    Area II: SecurityCryptographyAuthentication

    CPA · Question 81 · Area II: Security

    A company uses 'Hashing' to store passwords. Why is this better than encryption?

    Answer options:

    A.

    Hashing is reversible.

    B.

    Hashing uses a public key.

    C.

    Hashing is one-way; the original password cannot be retrieved from the hash.

    D.

    Hashing is slower.

    How to approach this question

    Hashing = One-way trip.

    Full Answer

    C.Hashing is one-way; the original password cannot be retrieved from the hash.✓ Correct
    Hashing is a one-way mathematical function. If a hacker steals the database of hashed passwords, they cannot reverse the math to find the original passwords (unlike encryption, which can be decrypted with a key).

    Common mistakes

    Thinking Hashing is the same as Encryption.
    Question 80All questionsQuestion 82

    Practice the full CPA ISC Practice Exam 3

    82 questions · hints · full answers · grading

    Sign up freeTake the exam

    More questions from this exam

    Q01A CPA is advising a client who is migrating their legacy on-premise ERP system to a cloud-based s...MediumQ02During a review of a client's cloud governance structure, an auditor notes that the client uses a...MediumQ03An auditor is evaluating the 'Processing Integrity' principle for a financial institution's loan ...HardQ04A company uses a batch processing system to update inventory records overnight. The 'Grandfather-...HardQ05During a walkthrough of the change management process, an auditor observes that the 'Developer' r...Medium
    View all 82 questions →