Using analytical tools to produce exception reports from the system and performance monitoring software is the most effective plan of action for a company that purchased and implemented system and performance monitoring software. Exception reports are reports that highlight deviations or anomalies from predefined thresholds or standards. Using analytical tools to produce exception reports can help to reduce the size and complexity of the system and performance monitoring reports, as well as to focus on the most relevant and critical information for review and action. The other options are less effective plans of action, as they may involve unnecessary costs, risks, or efforts. References:
* CISA Review Manual (Digital Version), Chapter 4, Section 4.2.21
* CISA Review Questions, Answers & Explanations Database, Question ID 219

The most useful information regarding an organization's risk appetite and tolerance is provided by its risk profile, as this is a document that summarizes the key risks that the organization faces, the potential impacts and likelihoods of those risks, and the acceptable levels of risk exposure for different objectives and activities.
A gap analysis is a tool that compares the current state and the desired state of a process or a system, and identifies the gaps that need to be addressed. Audit reports are documents that present the findings, conclusions, and recommendations of an audit engagement. A risk register is a tool that records and tracks the identified risks, their causes, their consequences, and their mitigation actions. References: CISA Review Manual (Digital Version), Chapter 2: Governance and Management of IT, Section 2.1: IT Governance

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