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When can sensitive data exposure occur in an application?

  1. During Data Transmission

  2. During Session Management

  3. During Input Validation

  4. During Output Encoding

The correct answer is: During Data Transmission

Sensitive data exposure can occur during data transmission because this stage involves the transfer of information between two parties, often over networks. If the data is not adequately protected, it can be intercepted by malicious actors. For instance, using unencrypted protocols, like HTTP instead of HTTPS, leaves data vulnerable to eavesdropping. Attackers can utilize various methods such as Man-in-the-Middle (MitM) attacks to capture sensitive information, including usernames, passwords, and personal data as it moves across the network. Other phases like session management, input validation, and output encoding do involve critical security mechanisms but are not as directly associated with the risk of sensitive data exposure. Session management deals with maintaining the state of sessions safely, while input validation ensures the integrity of user data before processing. Output encoding is focused on preventing issues such as cross-site scripting by safely displaying data to users. Though these processes are essential for maintaining the overall security posture of an application, the actual exposure of sensitive data predominantly arises during the transmission phase when proper encryption and security protocols are not in place.