ISC Exam Questions

What business process can be used to determine the outer bound of a Maximum Tolerable Downtime?

What business process can be used to determine the outer bound of a Maximum Tolerable Downtime?

A.
Accounts receivable

B.
Invoicing

C.
Payroll

D.
Shipment of goods

Explanation:
Answer C is correct; Most organizations should not allow unmanaged risk of two missed payrolls: if a company pays every 2 weeks, the maximum MTD would be 2 weeks. This is used to determine the outer bound; most organizations will determine a far lower MTD (sometimes in days, hours, or less).

Incorrect Answers and Explanations: A, B, and D: Answers A, B, and D are incorrect. All are valid concerns, but the risk of being unable to pay personnel for two consecutive pay periods carries higher risk.