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Single Answer
0How do you calculate the annual loss expectancy (ALE) that may occur due to a threat?
Answer Options
A
Exposure factor (EF) / single loss expectancy (SLE)
B
Single loss expectancy (SLE) × annual rate of occurrence (ARO)
C
Asset value (AV) × exposure factor (EF)
D
Single loss expectancy (SLE) / exposure factor (EF)
Correct Answer: B
Explanation
ALE (annual loss expectancy) is the product of the ARO (annual rate of occurrence) and the SLE (single loss expectancy) and is mathematically expressed as ALE = ARO × SLE. Single loss expectancy is the cost of any single loss, and it is mathematically expressed as SLE = AV (asset value) × EF (exposure factor).