Appendix D. Return on Prevention Calculations Reference Sheets
Refer to Chapter 9, “Return on Prevention: Investing in Capital Assets,” for background and detailed information on the following calculations.
Security Costs Calculations
Asset Value (AV)
Annualized Rate of Occurrence (ARO)
The ARO is the probability that an attack might happen over a one-year period. It is represented as a percentage.
Annual-Loss Expectancy (ALE)
The ALE is the annual financial loss sustained should threats to a specific asset be realized.
Exposure Factor (EF)
The ...
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