Which of the following concepts would assist the analyst in determining this value?

A security analyst is performing a quantitative risk analysis. The risk analysis should show the potential monetary loss each time a threat or event occurs. Given this requirement, which of the following concepts would assist the analyst in determining this value? (Select two.)
A. ALE
B. AV
C. ARO
D. EF
E. ROI

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8 thoughts on “Which of the following concepts would assist the analyst in determining this value?

  1. The Answer is fine, you need Asset Value and Exposure factor. Calculating The ALE (Annualized Loss Expectancy) is an example of Quantitative Risk Analysis. The Inputs are AV (Asset Value) in Monetary form Exposure Factor (EF) as a percentage and Annual Rate of Occurrence (ARO) as a hard Number.

    and the Question Was asking which factors will assist:

    1. this is correct. I dont know where AV & EF have to do with it. SLE = ALE/ARO. A & C should be correct.

  2. Are you sure the answer isn’t A. (Annual Loss Expectancy) and C. (Annual Rate of Occurrence) ?

    1. “potential monetary loss each time a threat or event occurs”

      so its asking what 2 factors are used to calculate SLE not asking for
      SLE = AV x EF
      asset value x exposure factor

      If it asked for annual it would be SLE and ARO. but it didn’t mention annual impact and didn’t have those options regardless.
      SLE x ARO = ALE

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