What equals the asset value multiplied by the exposure factor percentage?

The reason Single Loss Expectancy is the correct answer is that it directly refers to the estimation of potential loss an organization could face in the event of a specific risk occurring. This figure is calculated by taking the asset value, which is the total worth of the asset at risk, and multiplying it by the exposure factor percentage. The exposure factor represents the percentage of loss that would occur if a specific incident were to happen.

Single Loss Expectancy is a crucial metric in risk management because it helps organizations quantify potential losses associated with risks, thereby enabling better decision-making regarding risk mitigation strategies and resource allocation. By calculating this value, organizations can prioritize their security measures based on the potential impact of various threats.

In contrast, the other options refer to concepts related to risk but do not encapsulate the specific calculation involving asset value and exposure factor. Risk Exposure primarily deals with the identification of risks and their potential impacts. Potential Loss, while related, does not specifically denote the mathematical relationship expressed in this question. Risk Assessment is a broader term that encompasses the entire process of identifying and evaluating risks, rather than the specific calculation of expected loss.