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IAPP CIPP-E Practice Test - Questions Answers, Page 11

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List of questions

Question 101

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How is the GDPR's position on consent MOST likely to affect future app design and implementation?

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Question 102

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A mobile device application that uses cookies will be subject to the consent requirement of which of the following?

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Question 103

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What term BEST describes the European model for data protection?

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Question 104

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What was the aim of the European Data Protection Directive 95/46/EC?

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Question 105

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What is the key difference between the European Council and the Council of the European Union?

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Question 106

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Which change was introduced by the 2009 amendments to the e-Privacy Directive 2002/58/EC?

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Question 107

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What is a reason the European Court of Justice declared the Data Retention Directive invalid in 2014?

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Question 108

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Which type of personal data does the GDPR define as a "special category" of personal data?

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Question 109

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After leaving the EU under the terms of Brexit, the United Kingdom will seek an adequacy determination. What is the reason for this?

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Question 110

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To which of the following parties does the territorial scope of the GDPR NOT apply?

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SCENARIO Please use the following to answer the next question: You have just been hired by a toy manufacturer based in Hong Kong. The company sells a broad range of dolls, action figures and plush toys that can be found internationally in a wide variety of retail stores. Although the manufacturer has no offices outside Hong Kong and in fact does not employ any staff outside Hong Kong, it has entered into a number of local distribution contracts. The toys produced by the company can be found in all popular toy stores throughout Europe, the United States and Asia. A large portion of the company's revenue is due to international sales. The company now wishes to launch a new range of connected toys, ones that can talk and interact with children. The CEO of the company is touting these toys as the next big thing, due to the increased possibilities offered: The figures can answer children's Questions: on various subjects, such as mathematical calculations or the weather. Each figure is equipped with a microphone and speaker and can connect to any smartphone or tablet via Bluetooth. Any mobile device within a 10-meter radius can connect to the toys via Bluetooth as well. The figures can also be associated with other figures (from the same manufacturer) and interact with each other for an enhanced play experience. When a child asks the toy a question, the request is sent to the cloud for analysis, and the answer is generated on cloud servers and sent back to the figure. The answer is given through the figure's integrated speakers, making it appear as though that the toy is actually responding to the child's question. The packaging of the toy does not provide technical details on how this works, nor does it mention that this feature requires an internet connection. The necessary data processing for this has been outsourced to a data center located in South Africa. However, your company has not yet revised its consumer-facing privacy policy to indicate this. In parallel, the company is planning to introduce a new range of game systems through which consumers can play the characters they acquire in the course of playing the game. The system will come bundled with a portal that includes a Near-Field Communications (NFC) reader. This device will read an RFID tag in the action figure, making the figure come to life onscreen. Each character has its own stock features and abilities, but it is also possible to earn additional ones by accomplishing game goals. The only information stored in the tag relates to the figures' abilities. It is easy to switch characters during the game, and it is possible to bring the figure to locations outside of the home and have the character's abilities remain intact. Why is this company obligated to comply with the GDPR?