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In Information Security,two Categories of Benchmarks Are Used: Standards of Due

question 20

True/False

In information security,two categories of benchmarks are used: standards of due care and due diligence and recommended practices._________________________


Definitions:

Liquidity

The extent to which an asset or security can be quickly bought or sold in the market without affecting its price.

Payback Period

The number of years it takes a firm to recover its project investment. Payback does not capture a project’s entire cash flow stream and is thus not the preferred evaluation method. Note, however, that the payback does measure a project’s liquidity, and hence many firms use it as a risk measure.

Capital Budget Expenditures

Outlays of funds by a company for major investments or acquisitions intended to drive future growth.

Compliance

Adherence to laws, regulations, guidelines, and specifications relevant to its business processes.

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