(ISC)2 Certified in Cybersecurity Practice Exam

Which risk assessment employs objective numeric ratings to evaluate risks?

1. Qualitative Risk Assessment

2. Quantitative Risk Assessment

3. Critical Risk Assessment

4. Standard Risk Assessment

The correct answer is: Quantitative Risk Assessment

The correct response involves a Quantitative Risk Assessment, which is characterized by its use of objective numeric ratings to evaluate risks. This approach applies mathematical formulas and statistical methods to quantify risks in terms of monetary values, probabilities, and other measurable factors. Such assessments often involve identifying potential risks, assigning numerical values based on likelihood and impact, and analyzing these numbers to understand the overall risk exposure. By using objective metrics, quantitative risk assessments help organizations make informed decisions based on data and evidence, thus providing a clearer picture of potential financial impacts and resource allocation. This method is particularly beneficial for organizations that need to quantify risk in terms of financial loss or gain, such as during budgeting or investment decision-making processes. Other assessment types, like the qualitative method, typically rely on subjective evaluations and descriptive categories rather than numerical data, making them less precise in terms of quantifying risks. Understanding the distinctions helps organizations effectively choose the appropriate assessment method based on their specific needs and contexts.