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The chance of a hard drive failure is known to be once every four years. The cost of a new hard drive is $500.

The chance of a hard drive failure is known to be once every four years. The cost of a new hard drive is $500. EF (Exposure Factor) is about 0.

5. Calculate for the Annualized Loss Expectancy (ALE).

A.

$62.5

B. $250

C. $125

D. $65.2


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