Which of the following would BEST be used to calculate the expected loss of an event, if the
likelihood of an event occurring is known? (Select TWO).
A.
DAC
B.
ALE
C.
SLE
D.
ARO
E.
ROI
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This question is confusing, because the “expected loss of an event” is the SLE, or Single Loss Expectancy, and has nothing to do with the likelihood. What does involve the likelihood is the ALE, or Annualized Loss Expectancy. That is almost certainly what the question is asking.
I.e., “Which of the following would BEST be used to calculate the expected annual loss of an event, if the likelihood of an event occurring is known? (Select TWO).”
ALE = ARO * SLE, so the two things you need to calculate the ALE are the ARO and the SLE.
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