Single Loss Expectancy is a term related to Risk Management and Risk Assessment. It can be defined as the monetary value expected from the occurrence of a risk on an asset.
It is mathematically expressed as:
Where the Exposure Factor is represented in the impact of the risk over the asset, or percentage of asset lost. As an example, if the Asset Value is reduced two thirds, the exposure factor value is .66. If the asset is completely lost, the Exposure Factor is 1.0. The result is a monetary value in the same unit as the Single Loss Expectancy is expressed (euros, dollars, yens, etc.): Exposure Factor is the subjective, potential percentage of loss to a specific asset if a specific threat is realized. The exposure factor (EF) is a subjective value that the person assessing risk must define.
Read more about Single Loss Expectancy: See Also
Famous quotes containing the words single, loss and/or expectancy:
“The pure serene of memory in one man,—
A ripple widening from a single stone
Winding around the waters of the world.”
—Theodore Roethke (1908–1963)
“Claudio. The old ornament of his cheek hath already stuffed tennis-balls.
Leonato. Indeed, he looks younger than he did, by the loss of a beard.”
—William Shakespeare (1564–1616)
“O, what a noble mind is here o’erthrown!
The courtier’s, soldier’s, scholar’s,eye, tongue, sword,
Th’ expectancy and rose of the fair state,
The glass of fashion and the mold of form,
Th’ observed of all observers, quite, quite down!”
—William Shakespeare (1564–1616)