Neco 2019 Data Processing Question 46

An organization classifies its assets as follows: Asset A (customer database) valued at N200,000, Asset B (source code) valued at N150,000, and Asset C (financial records) valued at N100,000. The relevant threat to Asset B is an insider malicious attack with a base annual probability of 0.01. The vulnerability that applies is weak passwords, which increases the likelihood by a factor of 1.2. The company's detection system reduces the effective risk by 30\%\. Using the risk formula \( \text{Risk}= \text{Probability} \times \text{Vulnerability\ factor} \times \text{Impact} \times (1-\text{Detection\ reduction}) \), calculate the annual risk in Naira for Asset B and state the mitigation level if the company adopts the thresholds: Low\ <\ 5,000, Medium\ 5,000\textendash20,000, High\ >\20,000.