Business
Business, 25.11.2019 18:31, madelyncross24

Kim is the risk manager for a large organization. she is evaluating whether the organization should purchase a fire suppression system.
she consulted a variety of subject matter experts and determined that there is a 1 percent chance that a fire will occur in a given year.
if a fire occurred, it would likely cause $2 million in damage to the facility, which has a $10 million value.

given this scenario, what is the annualized loss expectancy (ale)?

a)$2,000

b)$20,000

c)$200,000

d)$2,000,000

answer
Answers: 1

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