Skillset can help you prepare! Sign up for your free Skillset account and take the first steps towards your certification.
An asset with a value of $600,000 is subject to a successful malicious attack threat twice a year. The asset has an exposure of 30 percent to the threat. What will be the annualized loss expectancy?
$280,000
$360,000
$540,000
$180,000
The annualized loss expectancy will be $360,000. Annualized loss expectancy (ALE) is the annually expected financial loss to an organization from a threat. The annualized loss expectancy (ALE) is the product of the annual rate of occurrence (ARO) and the single loss expectancy (SLE). It is mathematically expressed as follows:
ALE = Single Loss Expectancy (SLE) * Annualized Rate of Occurrence (ARO) Here, it is as follows:
SLE = Asset value * EF (Exposure factor)
= 600,000 * (30/100)
= 600,000 * 0.30
= 180,000
ALE = SLE * ARO
= 180,000 * 2
= 360,000
Answer: C, B, and D are incorrect. These are not valid answers.
Study thousands of practice questions that organized by skills and ranked by difficulty.
Create a tailored training plan based on the knowledge you already possess.
Know when you’re ready for the high-stakes exam. Have the confidence that you will pass on your first attempt.