Question

What is the formula used to compute the single loss expectancy for a risk scenario?

A. SLE = EF × ARO
B. SLE = RO × EF
C. SLE = AV × EF
D. SLE = AV × ARO

Answer 1

The Single Loss Expectancy (SLE) is calculated using the formula SLE = AV × EF, where AV is the Asset Value and EF is the Exposure Factor. This formula is vital for assessing financial impact in risk management scenarios.

Step-by-step explanation:

The Single Loss Expectancy (SLE) is a term used in risk management, particularly within the field of information security, to quantify the expected monetary loss every time a risk occurs. The formula to compute the SLE for a risk scenario is SLE = AV × EF, where:

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• AV stands for Asset Value - the value of the asset that could be affected by a threat.
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• EF stands for Exposure Factor - the percentage of the asset value that is likely to be lost due to a particular threat.

This formula helps organizations in assessing the potential impact of risks on their assets and aids in the overall risk assessment process.