In assessing risk in an accounting information system, an IS auditor determined that

the accounts receivable master file is likely to become corrupted at least once every

two years. This often necessitates restoring backups and reconstructing several

transactions that are not included among the backups. A full recovery and

restoration typically costs the company about $$20,000$ in out$-$of$-$pocket costs. Based

on the IS auditor s observation, which of the following is an effective

recommendation?

Review the underlying reasons for the corruption of the accounts receivable

master file and do a more thorough assessment of the company $>$ s exposure.

Implement a disaster recovery management process if the annual cost of that

process is no more than $$20,000.$

Review its recovery time and recovery point objectives and determine how its

personnel can best achieve those objectives.

Compute the single loss expectancy and the annual loss expectancy and create a

contingent liability for those losses.

Accept the loss and do nothing about it$.$