Apply a risk based prioritization to address the most critical risks is correct. This option directs scarce budget and limited personnel toward the risks that would cause the greatest harm if exploited.

The risk based prioritization approach assesses both likelihood and impact so the nonprofit can sequence mitigations, accept low risks, transfer some exposures, and monitor others. This preserves resources by reducing the highest exposures first while keeping the organization operational and mission focused.

Attempt to remediate every identified risk regardless of expense is wrong because it is not feasible for organizations with tight budgets and small staffs. Trying to fix everything can waste funds on low impact items and leave serious risks unaddressed.

Limit activity to satisfying regulatory obligations only is wrong because minimum compliance does not cover all mission critical threats. Compliance may be part of a risk plan but it should not replace a broader prioritization of risks by impact and likelihood.

Ignore risks deemed lower priority entirely is wrong because lower priority risks can change and escalate over time. Accepting or monitoring lower priority risks is reasonable but outright ignoring them removes the ability to detect and respond to that change.

Full AWS Practitioner Certification Question