Contingency planning is the result of which four major components?
Correct Answer: B
Comprehensive Detailed Explanation: Contingency planning in security and business continuity comprises four key components: Emergency Response - immediate action to protect life and assets. Crisis Management - command, communication, and decision-making during crises. Business Recovery - restoring critical functions temporarily. Business Resumption - restoring full, normal operations post-disruption. Other options include irrelevant terms such as "pressure devices" or "under investigation," which are not core to contingency planning. References: ASIS POA Manual - Emergency and Continuity Planning PSP Study Guide - Contingency and Disaster Recovery Planning
Question 47
The annual loss expectancy (ALE) formula is based on:
Correct Answer: D
Annual Loss Expectancy (ALE) is calculated as: ALE = Single Loss Expectancy (SLE) × Annual Rate of Occurrence (ARO), which reflects the impact (SLE) and the frequency (ARO) of an event. This formula is a key component in risk assessment for determining expected financial loss. A, B, and C are partially correct but not the accepted risk formula framework. References: PSP Study Guide - Risk Quantification Techniques POA Manual - Risk Assessment and ALE Formula
Question 48
Security is a business unit and its function must:
Correct Answer: C
Security is not a standalone function; it must align with and support the broader mission and strategic goals of the organization. This includes protecting assets, enabling business continuity, and ensuring safety in a way that complements business objectives. A (Quarterly cycle) is not a standard requirement. B (Certified manager) is good practice but not a defining mandate. D (Lowest cost) is not always ideal; effectiveness and alignment are more important than minimal cost. References: PSP Study Guide - Role of Security in Business Operations POA Manual - Security as a Business Function
Question 49
What must be accomplished to accurately determine the financial and operational impact that could result from an interruption of enterprise operations?
Correct Answer: D
A Business Impact Analysis (BIA) identifies critical functions and assesses the financial and operational impact of business disruptions. It helps prioritize recovery efforts and supports continuity planning by quantifying potential losses. Enterprise impact analysis (A) and Managerial impact analysis (B) are not formal terms. Critical process impact (C) is a component considered in the BIA but not the term itself. References: PSP Study Guide - Conducting a Business Impact Analysis ASIS International - Business Continuity Management Framework
Question 50
Which terrorism requires organization and some type of leadership, recruitment, training, and retention of members?
