Exam CAS-004 topic 1 question 449 discussion

Business Impact Analysis (BIA) assesses the potential consequences of disruptions to critical business operations. It helps identify the impact of various events (like system failures or security breaches) on business functions, revenue, reputation, and other key metrics. This information is crucial for calculating the exposure factor, as it quantifies the potential losses resulting from a specific risk.

Exposure Factor (EF) is a key component in quantitative risk assessment. It represents the percentage of loss that a specific asset or system might experience if a particular threat is realized. Calculating the EF requires an understanding of the potential impact or damage to assets and processes due to various threats. BIA helps identify and prioritize critical business functions and processes that are essential for the organization's survival. It evaluates the potential effects (financial loss, reputational damage, legal implications) resulting from the interruption of these critical functions

B is correct