Which statement best describes password-protected Excel files for sensitive data?

• A. It guarantees data integrity when password protected.
• B. It offers no security benefits at all.
• C. It provides a layer of security but does not guarantee data integrity.
• D. It makes the data fully immutable.

Answer: (C)

Password protection in Excel mainly guards who can access the file by encrypting it and requiring a password to open or modify it. This creates a barrier against unauthorized viewing, which is the security layer intended for sensitive data. However, it does not guarantee data integrity. Once someone gains access, they can still alter values, formulas, or the workbook itself, and Excel’s protection mechanisms don’t provide tamper-evidence or a way to prove the data hasn’t been changed. For true integrity, you’d rely on digital signatures, cryptographic hashes, or an audit trail, in addition to secure access controls. So, password-protected Excel files offer a security layer but do not guarantee data integrity.