When introducing an AI system that makes automated decisions about individuals, the organization must update the user privacy notice to ensure transparency about how personal data is being used, including the role of AI in decision-making.

Realistic AI-generated images and videos can cause significant downstream harms such as misinformation, deepfakes, and reputational damage.

The correct answer is D. AI Impact Assessments are primarily used to identify and manage risks and harms associated with AI systems.
From the AIGP Body of Knowledge:
"The goal of an AI impact assessment is to ensure that risks are identified, evaluated, and mitigated prior to or during development and deployment." As further confirmed in the AI Governance in Practice Report 2024 (Part III):
"Risk-based tools like DPIAs and Algorithmic Impact Assessments help identify potential risks to individuals and society, enabling organizations to implement mitigation plans and safeguards." While benefits may be noted in such assessments, the core objective is to manage risks and promote responsible AI.