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Homework Assignment: Determining the Annual Loss Expected to Occur from RisksGeorge runs a company that sells used textbooks to students online. He has a network

Homework Assignment: Determining the Annual Loss Expected to Occur from RisksGeorge runs a company that sells used textbooks to students online. He has a network of sales engineers that consists of 100 salesmen who make an average of $20 an hour, on 100 workstations. To do their job, the companys users must be constantly connected to the Internet with their workstations to check out college courses being offered at different institutions. Historically, the company has seen that there is a 90% chance that the Internet connection will be down at least once a year due to a natural or other event for at least 4 hours. This would impact 100% of the users. George must consider if this risk warrants the purchase of a $10,000 per year UPS solution.Answer the following questions:
1.What is the Annualized Rate of Occurrence (ARO) for the risk of these systems being unavailable?
2.What is the Exposure Factor (EF)?
3.What is the Single Loss Expectancy (SLE)?
4.What is the ALE?
5.Identify this proposed control as being preventive, detective, or corrective.
6.What would be your recommendation for managing this risk, based on the risk handlingmethods we have discussed in class?

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