The cost of implementing a security control should not exceed the:
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A. B. C. D.C.
The cost of implementing security controls should not exceed the worth of the asset.
Annualized loss expectancy represents the losses drat are expected to happen during a single calendar year.
A security mechanism may cost more than this amount (or the cost of a single incident) and still be considered cost effective.
Opportunity costs relate to revenue lost by forgoing the acquisition of an item or the making of a business decision.
The cost of implementing a security control is a critical consideration when deciding to implement any security measure within an organization. However, the cost of implementation must be balanced against the potential benefits of the security control. The main objective of implementing a security control is to reduce the overall risk of an organization's assets. The cost of implementing a security control should not exceed the potential benefits derived from the control.
The annualized loss expectancy (ALE) is the expected loss that an organization would experience in a year due to a security incident. ALE is calculated by multiplying the likelihood of a security incident by the estimated cost of the incident. Therefore, ALE is a useful metric to determine the maximum cost that an organization should spend on implementing a security control. If the cost of implementing a security control exceeds the ALE, then the control may not be cost-effective, and the organization may choose not to implement the control.
The cost of an incident is another useful metric that can be used to determine the maximum cost of implementing a security control. The cost of an incident includes the direct costs of the incident, such as lost revenue, legal fees, and recovery costs, as well as the indirect costs, such as damage to the organization's reputation and loss of customer confidence. The cost of an incident can be used to determine the maximum cost that an organization should spend on implementing a security control. If the cost of implementing a security control exceeds the cost of an incident, then the control may not be cost-effective.
The asset value is the estimated value of an organization's assets. The asset value is another metric that can be used to determine the maximum cost of implementing a security control. The asset value can be used to determine the importance of the asset and the potential impact of a security incident on the asset. If the cost of implementing a security control exceeds the asset value, then the control may not be cost-effective.
Finally, implementation opportunity costs are the costs associated with not implementing a security control. These costs can include lost revenue, damage to reputation, and legal costs associated with a security incident. The implementation opportunity costs can be used to determine the maximum cost that an organization should spend on implementing a security control. If the cost of implementing a security control exceeds the implementation opportunity costs, then the control may not be cost-effective.
In conclusion, when deciding on the implementation of a security control, the cost of implementation should not exceed the ALE, cost of an incident, asset value, or implementation opportunity costs. Organizations should use a combination of these metrics to determine the maximum cost that they should spend on implementing a security control, ensuring that they achieve the maximum benefits for their investment.