Study. uk . com
  1. Home
  2. All questions
  3. Question 306

CISM study material · question 306 of 1000

IR 8286 says tangible and less tangible impacts are connected in both directions. Which pair of statements captures that connection?

  1. Direct losses affect reputation, and reputational events nearly always bring risk response expenses
  2. Direct losses are always larger than reputational ones
  3. Tangible impacts are assessed at system level and intangible ones at enterprise level, so the two never meet in one register
  4. Reputational impacts cannot be estimated with any confidence and so are excluded from the exposure calculation
Show the answer

Answer: A. Direct losses affect reputation, and reputational events nearly always bring risk response expenses

IR 8286 states both tangible impacts such as direct financial losses and less tangible ones such as reputational damage should be considered, and that these are connected since direct losses affect reputation and reputational events nearly always result in response expenses.

Source: NIST IR 8286 (NIST) — Sec. 3.3.2 Techniques for Estimating Likelihood and Impact

Challenge yourself on this topic → Study as cards