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ExamsCAS-003Questions#174
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CAS-003 · Question #174

CAS-003 Question #174: Real Exam Question with Answer & Explanation

The correct answer is A: Based on cost alone, having an outsourced solution appears cheaper.. The costs of making use of an outsources solution will actually be a savings for the company thus the outsourced solution is a cheaper option over a 5 year period because it amounts to 0,5 FTE per year for the company and at present the company expense if $80,000 per year per FTE

Question

A Chief Information Security Officer (CISO) has requested that a SIEM solution be implemented. The CISO wants to know upfront what the projected TCO would be before looking further into this concern. Two vendor proposals have been received: Vendor A: product-based solution which can be purchased by the pharmaceutical company. Capital expenses to cover central log collectors, correlators, storage and management consoles expected to be $150,000. Operational expenses are expected to be a 0.5 full time employee (FTE) to manage the solution, and 1 full time employee to respond to incidents per year. Vendor B: managed service-based solution which can be the outsourcer for the pharmaceutical company's needs. Bundled offering expected to be $100,000 per year. Operational expenses for the pharmaceutical company to partner with the vendor are expected to be a 0.5 FTE per year. Internal employee costs are averaged to be $80,000 per year per FTE. Based on calculating TCO of the two vendor proposals over a 5 year period, which of the following options is MOST accurate?

Options

  • ABased on cost alone, having an outsourced solution appears cheaper.
  • BBased on cost alone, having an outsourced solution appears to be more expensive.
  • CBased on cost alone, both outsourced an in-sourced solutions appear to be the same.
  • DBased on cost alone, having a purchased product solution appears cheaper.

Explanation

The costs of making use of an outsources solution will actually be a savings for the company thus the outsourced solution is a cheaper option over a 5 year period because it amounts to 0,5 FTE per year for the company and at present the company expense if $80,000 per year per FTE. For the company to go alone it will cost $80,000 per annum per FTE = $400,000 over 5 years. With Vendor a $150,000 + $200,000 (?FTE) = $350,000 With Vendor B = $100,000 it will be

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