CompTIA Security+ Question B-28

A security administrator is tasked with calculating the total ALE on servers. In a two year period of time, a company has to replace five servers. Each server replacement has cost the company $4,000 with downtime costing $3,000. Which of the following is the ALE for the company?

A. $7,000
B. $10,000
C. $17,500
D. $35,000

Answer: C

SLE × ARO = ALE, where SLE is equal to asset value (AV) times exposure factor (EF); and ARO is the annualized rate of occurrence. SLE =($4000 + $3000) x 5 = $35000 ARO = 2 years Thus per year it would be 50% = 0,5 The ALE is thus $35000 x 0.5 = $17500