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    PracticeCPA®CPA ISC Practice ExamQuestion 58
    Hard1 markMultiple Choice
    Area II: SecuritySecurityEncryptionData Protection

    CPA · Question 58 · Area II: Security

    An auditor observes that a company uses 'Symmetric' encryption for transmitting large database backups across a public network. The key exchange is handled via a separate secure channel. Is this appropriate?

    Answer options:

    A.

    Yes, symmetric encryption is efficient for large data volumes.

    B.

    No, asymmetric encryption must be used for all data transmission.

    C.

    No, encryption is not needed for backups.

    D.

    Yes, but only if the key is hardcoded in the script.

    How to approach this question

    Match the algorithm to the use case. Bulk Data = Symmetric (Fast). Key Exchange/Signatures = Asymmetric (Slow but flexible).

    Full Answer

    A.Yes, symmetric encryption is efficient for large data volumes.✓ Correct
    Symmetric encryption (like AES-256) is computationally efficient and ideal for large datasets. The challenge is key exchange, but the scenario states this is handled securely. Therefore, the control is appropriate.

    Common mistakes

    Thinking Asymmetric is 'better' for everything.
    Question 57All questionsQuestion 59

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