CompTIA CASP+ (CAS-004) — Question 103

A company invested a total of $10 million for a new storage solution installed across five on-site datacenters. Fifty percent of the cost of this investment was for solid-state storage. Due to the high rate of wear on this storage, the company is estimating that 5% will need to be replaced per year. Which of the following is the
ALE due to storage replacement?

Answer options

• A. $50,000
• B. $125,000
• C. $250,000
• D. $500,000
• E. $1,000,000

Correct answer: C

Explanation

The correct answer is C, which is calculated by taking 50% of the $10 million investment, resulting in $5 million allocated for solid-state storage. With an annual replacement rate of 5%, the ALE is 5% of $5 million, equating to $250,000. The other options are incorrect as they do not accurately reflect this calculation.