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ISACA Advanced in AI Audit Questions 176–180 (page: 37)

Updated On: 12-Sep-2026

An organization's AI model used in the recruitment screening process was found to favor one gender of candidates over others. It was noted that the AI model was trained on recruitment records where the majority of new hires were male.
Which bias would this BEST demonstrate?

  1. Label
  2. Confirmation
  3. Geographic
  4. Historical

Answer(s): D

Explanation:

The model reflects patterns from past hiring decisions that favored one gender, causing it to replicate those historical imbalances in its predictions.



Which of the following would be the BEST time to create a data governance plan for a new AI solution?

  1. During the testing phase
  2. Prior to moving into production
  3. During data collection
  4. As part of the initial design

Answer(s): D

Explanation:

Establishing a data governance plan during the initial design phase ensures that data handling, quality, security, and compliance requirements are defined from the outset and embedded throughout the AI lifecycle.



An IS auditor is reviewing the company’s AI procedure.
Which of the following would be the MOST critical gap?

  1. Privacy principles are not defined in the AI procedure.
  2. Procedures for human oversight of automated decisions are not described.
  3. The use of external data sources is not specified.
  4. Mandatory assessments required for critical systems are not specified.

Answer(s): D

Explanation:

The absence of mandatory assessments for critical systems means high-risk AI use cases may be deployed without formal evaluation of risks, controls, and compliance, representing a significant governance failure.



From an audit perspective, which of the following BEST supports the objectives of an AI governance program?

  1. Establishing an AI ethics committee or responsible AI review board
  2. Defining AI policies for model interpretability, transparency, and resiliency
  3. Defining roles, responsibilities, and training for all stakeholders on AI ethics
  4. Developing an AI risk register to record potential algorithmic bias

Answer(s): B

Explanation:

Defining formal policies for interpretability, transparency, and resiliency establishes the foundational governance framework that guides how AI is designed, deployed, and controlled across the organization.



An organization implements a neural network-based AI system for credit scoring that processes extensive input data from multiple sources.
Which of the following represents the GREATEST risk if input validation and anomaly detection controls are inadequate?

  1. Biased inputs that can affect credit decisions
  2. Delayed model training cycles from excessive data preprocessing
  3. Overfitting caused by excessive anomaly filtering
  4. Increased computational cost due to redundant input checks

Answer(s): A

Explanation:

Without proper input validation and anomaly detection, erroneous or biased data can enter the model, directly influencing credit decisions and leading to unfair or incorrect outcomes.



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