Risk Equations

Question 1

What is the security risk rating equation?

Answer 1

Sec Risk Rate = (Asset Value Rating)(Threat Likelihood rating)Severity Impact rating*Vulnerability Rating

Question 2

What is the risk formula?

Answer 2

(ThreatVulnerabilityImpact)^(1/3) = Risk

Question 3

What are the three methods of valuing assets?

Answer 3

1) Dollars,
2) Consequence Criteria,
3) Policy

Question 4

What is the formula for residual risk?

Answer 4

R = TAV

T = threat definition and likelihood of attack
A = Asset to be protected
V = vulnerability, represented by system effectiveness.

Question 5

What is the cost Loss formula?

Answer 5

K=Cp+Ct+Cr+Ci-I

K = Total Loss
Cp = Permanent Replacement Cost
Ct = Temporary Substitute Cost
Cr = total related costs (remove old asset, install new asset)
Ci = lost income
I = available insurance or indemnity