Kevin and David are carrying out a risk assessment and they need to perform a cost/benefit analysis on a specific countermeasure to determine if it is a good choice for the company. The potential loss to the company without the control is $200,000. The ALE with the control is $75,500. They figure that the annual cost of the safeguard is $55,400. What is the value of this safeguard to the company?
A.
$220,100
B.
Negative $69,100
C.
$69,100
D.
Negative $220,100
Explanation:
The real value of a countermeasure to a company is calculated by
subtracting the ALE after the countermeasure is implemented and the annual cost of
maintenance from the ALE before the measure was implemented.