Ian Is Beginning His Studies Toward a Degree in Computer

question 36

Multiple Choice

Ian is beginning his studies toward a degree in computer security. He knows that he has a lot to learn and wants as solid a footing in the basics as he can get. He has asked you to come over and help him make sure he's got a good grasp of the fundamentals.
-Impressed with Ian's knowledge, you decide to test him further. You ask him what kind of software tool or program is most helpful in defending against necessity attacks. He replies: ____.

• A) packet sniffer
• B) script kiddie
• C) ad blocker
• D) secret key

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Definitions:

Security Market Line

A representation in the Capital Asset Pricing Model (CAPM) showing the relationship between the expected return of a security and its risk, measured by beta.

Marginal Tax Rate

The rate at which the next dollar of taxable income would be taxed, reflecting the percentage taken by taxes in the next higher tax bracket.

SML Approach

It refers to the Security Market Line approach, a graphical representation of the Capital Asset Pricing Model (CAPM) that shows the relationship between expected return and beta (market risk).

Reward-to-Risk Ratio

A metric used in finance to compare the expected returns of an investment to the amount of risk undertaken to capture these returns.