The most important thing for an IS auditor to examine when reviewing an organization's privacy policy is its legitimate purpose for collecting personal data. A legitimate purpose is a clear and specific reason for collecting personal data that is necessary for the organization's business operations or legal obligations, and that respects the rights and interests of the data subjects. A legitimate purpose is the basis for establishing a lawful and fair processing of personal data, and it should be communicated to the data subjects in the privacy policy. The other options are not as important as the legitimate purpose in reviewing the privacy policy.
Explicit permission from regulators to collect personal data is not always required, as there may be other lawful bases for data collection, such as consent, contract, or public interest. Sharing of personal information with third-party service providers is not prohibited, as long as there are adequate safeguards and agreements in place to protect the data. The encryption mechanism selected by the organization for protecting personal data is a technical control that can enhance data security, but it does not determine the legality or fairness of data collection. References: CISA Review Manual (Digital Version), Chapter 5, Section 5.3.2

Comprehensive and Detailed Step-by-Step Explanation:
White box testingis the most effective foridentifying hidden errorsand optimizingsource code quality.
* Option A (Incorrect):UAT focuses on functionalityfrom anend-user perspective, not source code errors.
* Option B (Incorrect):Black box testingexamines software behaviorwithout reviewing code, making it less effective for code-level optimization.
* Option C (Correct):White box testing(also known asclear box or structural testing)analyzes source codefor vulnerabilities, logic errors, and optimization opportunities.
* Option D (Incorrect):Penetration testingidentifiessecurity weaknesses, but it does notfocus on code efficiency.
Reference:ISACA CISA Review Manual -Domain 3: Information Systems Acquisition, Development, and Implementation- Coverssoftware testing methodologies and secure coding practices.

Comprehensive and Detailed Step-by-Step Explanation:
Thebest protectionfor a stolen laptop isfull disk encryption, which prevents unauthorized accesseven if the device is lost.
* Option A (Incorrect):Remote wipe capabilitiesare useful, but theyrequire an internet connectionto function, which is not always available when a device is stolen.
* Option B (Correct):Full disk encryption (FDE)ensures that data remainsunreadablewithout the correct decryption key,even if the hard drive is removed.
* Option C (Incorrect):User awarenessis helpful, but itdoes not physically securedata on a lost device.
* Option D (Incorrect):Password-protected filescan be bypassed by copying them to another system, making them an inadequate security measure.
Reference:ISACA CISA Review Manual -Domain 5: Protection of Information Assets- Coversencryption, data security, and endpoint protection.

Using risk assessments to determine areas to be included in an audit plan is a primary benefit because it helps to prioritize the audit activities based on the level of risk and the potential impact of the audit findings. This way, the audit resources, such as time, staff, and budget, can be allocated more efficiently and effectively to the areas that need the most attention and provide the most value.
References
ISACA CISA Review Manual, 27th Edition, page 256
What is the Purpose of a Risk Assessment?
Mastering the Process of Risk Assessment