312-50V9 · Question #344
What is the approximate cost of replacement and recovery operation per year of a hard drive that has a value of $300 given that the technician who charges $10/hr would need 10 hours to restore OS and
The correct answer is D. $146. The ALE is calculated by multiplying SLE (asset replacement plus recovery labor) by the ARO, yielding approximately $146 when assuming a hard drive failure rate of once every three years.
Question
What is the approximate cost of replacement and recovery operation per year of a hard drive that has a value of $300 given that the technician who charges $10/hr would need 10 hours to restore OS and Software and needs further 4 hours to restore the database from the last backup to the new hard disk? Calculate the SLE, ARO, and ALE. Assume the EF = 1 (100%).
Options
- A$440
- B$100
- C$1320
- D$146
How the community answered
(31 responses)- A3% (1)
- B13% (4)
- C6% (2)
- D77% (24)
Why each option
The ALE is calculated by multiplying SLE (asset replacement plus recovery labor) by the ARO, yielding approximately $146 when assuming a hard drive failure rate of once every three years.
$440 represents the SLE for a single loss event and omits applying the ARO to produce an annualized figure.
$100 accounts only for the OS/software restoration labor and ignores both the hard drive replacement cost and the database restoration labor.
$1320 would require an ARO of 3, implying three hard drive failures per year, which is not a realistic or standard assumption for this scenario.
SLE equals the hard drive replacement cost ($300 x EF 1.0 = $300) plus technician labor for OS/software restoration (10 hrs x $10 = $100) and database restoration (4 hrs x $10 = $40), totaling $440. Applying a standard ARO of 1/3 (one failure every three years), ALE = $440 x 0.333 = approximately $146, which represents the expected annualized cost of this loss scenario.
Concept tested: SLE, ARO, and ALE quantitative risk calculation
Source: https://nvlpubs.nist.gov/nistpubs/Legacy/SP/nistspecialpublication800-30r1.pdf
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