The First Step in Managing IT Security Is to Develop

question 72

Multiple Choice

The first step in managing IT security is to develop a _____ based on confidentiality,integrity,and availability.

• A) security policy
• B) risk policy
• C) threat report
• D) concealment report

Understand the prerequisites for testing CAPM, including the details of the market portfolio.

Comprehend the methodologies and implications of regression tests in CAPM.

Describe the extension and predictive power of Fama-French three-factor and multifactor models over CAPM.

Understand the concepts of liquidity, market inefficiency, and the impact of liquidity on asset pricing.

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Definitions:

Decision Making

The cognitive process of selecting a course of action from among multiple alternatives, often involving risk and uncertainty.

WACC

Weighted Average Cost of Capital, representing the average rate of return a company is expected to pay its security holders.

Return on Investment

Return on Investment (ROI) measures the gain or loss generated by an investment relative to the amount of money invested.

Minimised

Reduced to the smallest possible size, amount, degree, or level.