Principles of Information Security (MindTap Course List)
Principles of Information Security (MindTap Course List)
6th Edition
ISBN: 9781337102063
Author: Michael E. Whitman, Herbert J. Mattord
Publisher: Cengage Learning
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Chapter 5, Problem 4E
Program Plan Intro

Single loss expectancy:

Single loss expectancy is the value connected with loss acquired from an attack.  It is calculated using the value of asset and exposure factor occurred from a particular attack.

Single loss expectancy is calculated by using the following formula:

SLE= EF × AV

Here, the term EF refers “Exposure factor” and AV refers “asset value”.

Frequency of occurrence:

Frequency of occurrence is how often the attack takes place.

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How might XYZ Software Company arrive at the values in the table shown in Exercise 3? For each entry, describe the process of determining the cost per incident and frequency of occurrence.
Assume a year has passed and XYZ has improved its security.  Using the following table, calculate the SLE, ARO, and ALE for each threat category listed. YXZ Software Company (Asset Value: $1,200,000 Threat Category Cost per Incident Frequency of Occurrence Cost of Controls Type of Control Programmer mistakes $5,000 1 per month $20,000 Training Loss of intellectual property $75,000 1 per 2 years $15,000 Firewall/IDS Software piracy $500 1 per month $30,000 Firewall/IDS Theft of information (hacker) $2,500 1 per 6 months $15,000 Firewall/IDS Threat of information (employees) $5,00 1 per year $15,000 Physical security Web defacement $500 1 per quarter $10,000 Firewall Theft of equipment $5,000 1 per 2 years $15,000 Physical security Viruses, worms, Trojan horses $1,500 1 per month $15,000 Antivirus Denial-of-service attack $2,500 1 per 6 months $10,000 Firewall…
Provide a short description of each of the five methods used to mitigate risk.
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