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Under the principle of culpable negligence, executives …

Under the principle of culpable negligence, executives can be held liable for losses that result from computer
system breaches if:

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A.
The company is not a multi-national company.

B.
They have not exercised due care protecting computing resources.

C.
They have failed to properly insure computer resources against loss.

D.
The company does not prosecute the hacker that caused the breach.

Explanation:
Due care and due diligence are comparable to the “prudent person” concept. A prudent person is seen as
responsible, careful, cautious, and practical, and a company practicing due care and due diligence is seen in
the same light.
Incorrect Answers:
A: Culpable negligence is not in reference to a multi-national company. Culpable negligence is related to lack of
due care.
C: Culpable negligence is not in reference to a computer resources loss. Culpable negligence is related to lack
of due care.
D: Culpable negligence is not due to a failure to prosecute a hacker who has caused a breach. Culpable
negligence is related to lack of due care.

Harris, Shon, All In One CISSP Exam Guide, 6th Edition, McGraw-Hill, New York, 2013, p. 1234


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