An internal auditor observed that the organization's disaster recovery solution will make use of a cold site in a town several miles away. Which of…

A cold site is a disaster recovery option that provides only basic infrastructure (such as power, space,

and network connectivity) but does not have pre-installed IT equipment such as servers and storage.

Organizations must procure and install servers and restore data before resuming operations, leading

to longer recovery times.

Let’s analyze each option:

Option A: Data is synchronized in real-time

Incorrect.

Real-time data synchronization is a feature of hot sites, which have fully operational infrastructure

and data replication.

Cold sites do not support real-time synchronization because they lack servers and storage.

Option B: Recovery time is expected to be less than one week

Incorrect.

Cold sites require significant setup time since servers and infrastructure must be procured,

configured, and installed.

Recovery time can often exceed one week, depending on the complexity of IT systems.

Option C: Servers are not available and need to be procured

Correct.

A cold site lacks computing hardware (e.g., servers, storage, network devices), meaning the

organization must purchase or transport servers to the site before recovery can begin.

IIA Reference: Internal auditors assess disaster recovery strategies, including the limitations of cold

sites and their impact on business continuity. (IIA GTAG: Auditing Business Continuity and Disaster

Recovery)

Option D: Recovery resources and data restore processes have not been defined.

Incorrect.

Even though a cold site lacks IT infrastructure, the organization still has a disaster recovery plan,

which includes predefined recovery steps, resource planning, and data restoration procedures.

Thus, the verified answer is C. Servers are not available and need to be procured.