ITPEC FE Morning April 2018 Question 40

Source exam: ITPEC FE Morning April 2018Topic: Security

ITPEC FE Morning April 2018 — Question 40 of 80

Public Key Infrastructure (PKI) — the role of a Certificate Authority in e-commerce

The correct answer is b): A Certificate Authority (CA) issues digital certificates for the public keys of the parties involved in the transaction.

A CA is a trusted third party in PKI. Its core function is to verify the identity of entities and bind their identity to their public key by issuing a digitally signed certificate. This allows other parties to trust that a given public key truly belongs to the claimed owner.

Why not the others:
- a) A CA does not encode/encrypt plain text — encryption is performed by the communicating parties themselves using the public/private keys.

- c) A CA does not manage passwords — password management is unrelated to PKI and certificate-based authentication.

- d) A private key is never shared between parties — the entire point of asymmetric cryptography is that private keys remain secret with their owner.

Key rule: CA = issues certificates that bind identity to public key. It does NOT encrypt data, manage passwords, or handle private keys of other parties.

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