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# Values changes on cost per incident and frequency of occurrence

Assume a year passed and XYZ software Co. has improve its security. Using the following table, calculate the SLE, ARO, and the ALE for each category listed.

1.Programer Mistakes
Cost per incident =\$5000
Frequency of ocurrence = 1 per month
cost of control= \$20,000
type of control = training

2.Loss of intellectual property
cost per incident =\$75,000
frequency of occurrence = 1 per 2 years
cost of control = \$15,000
type of control = firewall/ids

3.Software piracy
cost per incident = \$500
frequency of occurrence = 1 per 2 year
cost of control = \$30,000
type of control = firewall/ids

4. Theft of information ( hacker)
cost per incident = \$2500
frequency of occurrence = 1 per 6 months
cost of control = \$15000
type of control = firewall/ids

5. Theft of information ( employee)
cost per incident = \$5000
frequency of ocurrence = 1 per year
cost of control = \$15000
type of control = physical security

6. Web defacement
cost per incident = \$500
frequency of occurrence = 1 per quarter
cost of control = \$10,000
type of control = firewall

7.Theft of equipment
cost per incident = \$5000
frequency of occurrence = 1 per 2 year
cost of control = \$15000
type of control = physical security

8.Viruses, worms, troyan horses
cost per incident = \$1500
frequency of occurrence = 1 per month
cost of control = \$15000
type of control = antivirus

9.Denial-of-service attack
cost per incident = \$2500
frequency of occurrence = 1 per 6 moths
cost of control = \$10000
type of control = firewall

10.Earthquake
cost per incident = \$250000
frequency of occurrence = 1 per 20 years
cost of control = \$5000
type of control = insurance /backups

11. Floods
cost per incident = \$5000
frequency of occurrence = 1 per 10 years
cost of control = \$10000
type of control = insurance/backups

12. Fire
cost per incident = \$100,000
frequency of occurrence = 1 per 10 year
cost of control = \$10,000
type of control = insurance/backups

Why have some values changes on cost per incident and frequency of occurrence?
How could a control affect one but not the other?

#### Solution Preview

Calculate the SLE ( single loss expectancy), ARO (annualized of occurrence), and ALE( annualized loss expectancy) for each threat category listed
Assume a year passed and XYZ software Co. has improve its security. Using the following table, calculate the SLE, ARO, and the ALE for each category listed.

1.programer Mistakes
Cost per incident =\$5000
Frequency of occurrence = 1 per month
cost of control= \$20,000
type of control = training

2.loss of intellectual property
cost per incident =\$75,000
frequencyÂ Â of occurrence = 1 per 2 years
cost of control = \$15,000
type of control =Â Â firewall/ids

3.software piracy
cost per incident = \$500
frequency of occurrence = 1 per 2 year
cost of control = \$30,000
type of control = firewall/ids

4. theft ofÂ Â information ( hacker)
cost per incident = \$2500
frequency of occurrence = 1 per 6 months
cost of control = \$15000
type of control = firewall/ids

5.Â Â theft ofÂ Â information ( employee)
cost per incident = \$5000
frequency of occurrence = 1 per year
cost of control = \$15000
type of control = physical security

6. web defacement
cost per incident = \$500
frequency of occurrence = 1 per quarter
cost of control = \$10,000
type of control = firewall

7.theft of equipment
cost per incident = \$5000
frequency of occurrence = 1 per 2 year
cost of control = \$15000
type of control = physical security

8.viruses, worms, trojan horses
cost per incident = \$1500
frequency of occurrence = 1 per month
cost of control = \$15000
type of control = antivirus

9.denial-of-service attack
cost per incident = \$2500
frequency of occurrence = 1 per 6 moths
cost of control = \$10000
type of control = firewall

10. earthquake
cost per incident = \$250000
frequency of occurrence = 1 per 20 years
cost of control = \$5000
type of control = insurance /backups

11. floods
cost per incident = \$5000 ...

#### Solution Summary

The values changes on cost per incident and frequency of occurrence are examined.

\$2.19