Courseiva
Risk Response and ReportingmediumMultiple ChoiceObjective-mapped

CRISC Risk Response and Reporting Practice Question

The risk team is evaluating the cost-effectiveness of a proposed control that will reduce the annualized loss expectancy (ALE) for a cyber attack from $500,000 to $100,000. The annual cost of the control is $150,000. What is the net benefit of implementing this control?

Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

$250,000

The ALE reduction is $400,000. Subtracting the control cost of $150,000 gives a net benefit of $250,000.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • $400,000

    Why it's wrong here

    This is the ALE reduction, not the net benefit.

  • $250,000

    Why this is correct

    Correct: $400,000 reduction minus $150,000 cost equals $250,000 net benefit.

  • $150,000

    Why it's wrong here

    This is the control cost, not the net benefit.

  • $350,000

    Why it's wrong here

    Incorrect calculation.

About these practice questions

This CRISC question is part of Courseiva's 983-question bank — original exam-style content with full explanations and wrong-answer analysis, never real exam questions or exam dumps. Learn why practice questions differ from exam dumps →

How Courseiva writes practice questions · Editorial policy

JA

Written by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

This CRISC practice question is part of Courseiva's free ISACA certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the CRISC exam.