If an asset is valued at 100,000, the threat exposure factor of a risk affecting that asset is 25%, and the annualized rate of occurrence is 20%, what is the ALE?

If an asset is valued at 100,000, the threat exposure factor of a risk affecting that asset is 25%, and the annualized rate of occurrence is 20%, what is the ALE?




a. $5,000
b. $20,000
c. $25,000
d. $45,000




Answer: A


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