All of the answers except Development of test procedures would all be part of the
contingency planning phase.
Risk management minimizes loss to information assets due to undesirable events through
identification, measurement, and control. It encompasses the overall security review, risk analysis,
selection and evaluation of safeguards, cost-benefit analysis, management decision, and
safeguard identification and implementation, along with ongoing effectiveness review.
In many organizations, contingency planning is a necessity that has turned out to be beneficial in
more ways than ever expected. Contingency planning helps to ensure an organization's viability
during and following a disaster.
Another benefit of contingency planning is significant improvements in the daily operations of
many organizations. Researching and documenting contingency plans can discover numerous
single points of failure (SPOF). A SPOF is any single input to a process that, if missing, would
cause the process or several processes to be unable to function. Once identified, these SPOFs
can often easily be eliminated or have their damaging potential reduced.
Many organizations have also witnessed process improvements as a direct result of their
contingency planning efforts, particularly while exercising their DR and BCPs.
The following answers are incorrect as they are all part of Contengency Planning:
prioritization of apps = asset valuation
assessment of threat impact = threat modeling
development of recovery scenarios = risk mitigation
The following reference(s) were/was used to create this question:
Hernandez CISSP, Steven (2012-12-21). Official (ISC)2 Guide to the CISSP CBK, Third Edition
((ISC)2 Press) (Kindle Locations 8882-8884). Auerbach Publications. Kindle Edition.
and
Hernandez CISSP, Steven (2012-12-21). Official (ISC)2 Guide to the CISSP CBK, Third Edition
((ISC)2 Press) (Kindle Locations 20749-20756). Auerbach Publications. Kindle Edition.

Computer worms are also known as Network Mobile Code, or a virus-like bit of code that can replicate itself over a network, infecting adjacent computers.
A computer worm is a standalone malware computer program that replicates itself in order to spread to other computers. Often, it uses a computer network to spread itself, relying on security failures on the target computer to access it. Unlike a computer virus, it does not need to attach itself to an existing program. Worms almost always cause at least some harm to the network, even if only by consuming bandwidth, whereas viruses almost always corrupt or modify files on a targeted computer.
A notable example is the SQL Slammer computer worm that spread globally in ten minutes on January 25, 2003. I myself came to work that day as a software tester and found all my SQL servers infected and actively trying to infect other computers on the test network.
A patch had been released a year prior by Microsoft and if systems were not patched and exposed to a 376 byte UDP packet from an infected host then system would become compromised.
Ordinarily, infected computers are not to be trusted and must be rebuilt from scratch but the vulnerability could be mitigated by replacing a single vulnerable dll called sqlsort.dll.
Replacing that with the patched version completely disabled the worm which really illustrates to us the importance of actively patching our systems against such network mobile code.
The following answers are incorrect: -Rootkit: Sorry, this isn't correct because a rootkit isn't ordinarily classified as network mobile code like a worm is. This isn't to say that a rootkit couldn't be included in a worm, just that a rootkit isn't usually classified like a worm. A rootkit is a stealthy type of software, typically malicious, designed to hide the existence of certain processes or programs from normal methods of detection and enable continued privileged access to a computer. The term rootkit is a concatenation of "root" (the traditional name of the privileged account on Unix operating systems) and the word "kit" (which refers to the software components that implement the tool). The term "rootkit" has negative connotations through its association with malware.
-Adware: Incorrect answer. Sorry but adware isn't usually classified as a worm. Adware, or advertising-supported software, is any software package which automatically renders advertisements in order to generate revenue for its author. The advertisements may be in the user interface of the software or on a screen presented to the user during the installation process. The functions may be designed to analyze which Internet sites the user visits and to present advertising pertinent to the types of goods or services featured there. The term is sometimes used to refer to software that displays unwanted advertisements.
-Logic Bomb: Logic bombs like adware or rootkits could be spread by worms if they exploit the right service and gain root or admin access on a computer.
The following reference(s) was used to create this question: http://en.wikipedia.org/wiki/Rootkit and http://en.wikipedia.org/wiki/Computer_worm and http://en.wikipedia.org/wiki/Adware

The main difference between memory cards and smart cards is their capacity to process information. A memory card holds information but cannot process information. A smart card holds information and has the necessary hardware and software to actually process that information.
A memory card holds a user's authentication information, so that this user needs only type in a user ID or PIN and presents the memory card to the system. If the entered information and the stored information match and are approved by an authentication service, the user is successfully authenticated.
A common example of a memory card is a swipe card used to provide entry to a building.
The user enters a PIN and swipes the memory card through a card reader. If this is the correct combination, the reader flashes green and the individual can open the door and enter the building.
Memory cards can also be used with computers, but they require a reader to process the information. The reader adds cost to the process, especially when one is needed for every computer. Additionally, the overhead of PIN and card generation adds additional overhead and complexity to the whole authentication process. However, a memory card provides a more secure authentication method than using only a password because the attacker would need to obtain the card and know the correct PIN.
Administrators and management need to weigh the costs and benefits of a memory card implementation as well as the security needs of the organization to determine if it is the right authentication mechanism for their environment.
One of the most prevalent weaknesses of memory cards is that data stored on the card are not protected. Unencrypted data on the card (or stored on the magnetic strip) can be extracted or copied. Unlike a smart card, where security controls and logic are embedded in the integrated circuit, memory cards do not employ an inherent mechanism to protect the data from exposure.
Very little trust can be associated with confidentiality and integrity of information on the memory cards.
The following answers are incorrect:
"Smart cards provide two-factor authentication whereas memory cards don't" is incorrect.
This is not necessarily true. A memory card can be combined with a pin or password to offer two factors authentication where something you have and something you know are used for factors.
"Memory cards normally hold more memory than smart cards" is incorrect. While a memory card may or may not have more memory than a smart card, this is certainly not the best answer to the question.
"Only smart cards can be used for ATM cards" is incorrect. This depends on the decisions made by the particular institution and is not the best answer to the question.
Reference(s) used for this question:
Shon Harris, CISSP All In One, 6th edition , Access Control, Page 199 and also for people using the Kindle edition of the book you can look at Locations 4647-4650
Schneiter, Andrew (2013-04-15). Official (ISC)2 Guide to the CISSP CBK, Third Edition :
Access Control ((ISC)2 Press) (Kindle Locations 2124-2139). Auerbach Publications.
Kindle Edition.

A covert channel is an unintended communication path within a system, therefore it
is not protected by the system's normal security mechanisms. Covert channels are a secret way to
convey information.
Covert channels are addressed from TCSEC level B2.
The following are incorrect answers:
A trusted path is the protected channel that allows a user to access the Trusted Computing Base
(TCB) without being compromised by other processes or users.
A protection domain consists of the execution and memory space assigned to each process.
A maintenance hook is a hardware or software mechanism that was installed to permit system
maintenance and to bypass the system's security protections.
Reference used for this question:
KRUTZ, Ronald L. & VINES, Russel D., The CISSP Prep Guide: Mastering the Ten Domains of
Computer Security, John Wiley & Sons, 2001, Chapter 6: Operations Security (page 219).