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Exam CRISC topic 1 question 314 discussion

Actual exam question from Isaca's CRISC
Question #: 314
Topic #: 1
[All CRISC Questions]

You are the risk official in Techmart Inc. You are asked to perform risk assessment on the impact of losing a server. For this assessment you need to calculate monetary value of the server. On which of the following bases do you calculate monetary value?

  • A. Cost to obtain replacement
  • B. Original cost to acquire
  • C. Annual loss expectancy
  • D. Cost of software stored
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Suggested Answer: A 🗳️
The monetary value of the server should be based on the cost of its replacement. However, the financial impact to the enterprise may be much broader, based on the function that the server performs for the business and the value it brings to the enterprise.
Incorrect Answers:
B, C, D: Cost of software is not been counted because it can be restored from the back-up media. On the other hand' Ale for all risk related to the server does not represent the server's value. Lastly, the original cost may be significantly different from the current cost and, therefore, not relevant to this.

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somkiatr
2 weeks, 3 days ago
I think the answer should be B. Original cost to acquire During the risk assessment process, which occurs before an incident, it is indeed appropriate to use the asset value from the Asset Management System (AMS) for impact assessment. Here’s how this aligns with your points: - Pre-Incident Evaluation: Since risk assessments are performed proactively, the asset value in the AMS provides a useful reference point for estimating the potential financial impact of losing an asset. It helps establish the Single Loss Expectancy (SLE) and assess the overall risk associated with various assets. -Budgeting and Resource Allocation: Using the asset value allows organizations to prioritize risks and allocate resources accordingly, understanding which assets pose the most significant financial exposure. -Historical Context: The asset value reflects historical investment and provides context for evaluating risks, especially if the value is regularly updated to account for depreciation or changes in market conditions.
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