An asset is valued at $12,000, the threat exposure factor of a risk affecting that asset is 25%, and the annualized rate of occurrence is 50%. What is the SLE?

An asset is valued at $12,000, the threat exposure factor of a risk affecting that asset is 25%, and the annualized rate of occurrence is 50%. What is the SLE?




a. $1,500
b. $3,000
c. $4,000
d. $6,000



Answer: B

The single loss expectancy (SLE) is the product of the value ($12,000) and the threat exposure (.25), or $3,000. Answer A is incorrect because $1,500 represents the annualized loss expectancy (ALE), which is the product of the SLE and the annualized rate of occurrence (ARO). Answers C and D are incorrect calculated values.


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