Which of the following is MOST helpful in identifying loss magnitude during risk analysis of a new system?

Recovery Time Objective (RTO) defines the maximum acceptable downtime for a system, which is an input to recovery planning, not a direct measure of potential loss magnitude itself.

Cost-benefit analysis evaluates the economic feasibility of implementing controls, but it does not primarily identify the magnitude of loss from a system disruption before controls are considered.

A Business Impact Analysis (BIA) systematically identifies and evaluates the potential effects of business disruptions, including those caused by risks to a new system. It quantifies the financial, operational, and reputational impacts, thereby directly determining the loss magnitude associated with various scenarios.

Cyber insurance coverage is a financial recovery mechanism designed to offset losses after they occur, not a tool for identifying or quantifying the potential loss magnitude during a risk analysis.