CISA Certified Information Systems Auditor – Question2746

Which of the following would MOST likely indicate that a customer data warehouse should remain in-house rather than be outsourced to an offshore operation?

A.
Time zone differences could impede communications between IT teams.
B. Telecommunications cost could be much higher in the first year.
C. Privacy laws could prevent cross-border flow of information.
D. Software development may require more detailed specifications.

Correct Answer: C

Explanation:

Explanation:
Privacy laws prohibiting the cross-border flow of personally identifiable information would make it impossible to locate a data warehouse containing customer information in another country. Time zone differences and higher telecommunications costs are more manageable. Software development typically requires more detailed specifications when dealing with offshore operations.