1.2 Solutions Based on Business Continuity and Operational Sustainability (for Instance RPO, ROI, CAPEX/OPEX Cost Analysis, and Risk/reward) 400-007 Practice Questions (Page 3)

Questions 11–15

1. 11foundation · easy

   Which of the following is an example of a capital expenditure (CAPEX) in a business continuity solution?

   • AAnnual software maintenance subscription
   • BMonthly cloud storage fees
   • CPurchasing a backup generator for the data center
   • DElectricity costs for the backup site
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2. 12foundation · easy

   A business continuity solution costs $50,000 to implement and is expected to save $15,000 per year in avoided downtime costs. What is the simple ROI over a 5-year period?

   • A50%
   • B25%
   • C30%
   • D150%
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4. 13application · medium

   A telecommunications company is performing a risk assessment for its network infrastructure. The company identifies a risk of a fiber cut in a major metropolitan area. The likelihood is assessed as 'high' because of ongoing construction in the area, and the impact is assessed as 'high' because it would affect thousands of customers. Which of the following is the most appropriate risk response?

   • AAccept the risk because the probability of a fiber cut is beyond the company's control.
   • BTransfer the risk by purchasing business interruption insurance.
   • CMitigate the risk by implementing diverse routing paths and redundant fiber connections.
   • DAvoid the risk by not providing service in the metropolitan area.
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5. 14application · medium

   A social media platform stores user-generated content, including photos and videos. The platform's terms of service state that user data will not be lost. The company is designing a backup strategy. Which RPO is most appropriate for this scenario?

   • ARPO of 24 hours, because user-generated content is not critical to business operations.
   • BRPO of 5 minutes, because it provides a reasonable balance between cost and data protection.
   • CRPO of 0 seconds, because the terms of service promise no data loss, requiring synchronous replication or continuous backup.
   • DRPO of 1 hour, because it balances the cost of frequent backups with the need to protect user data.
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6. 15application · medium

   A cloud service provider is designing a new data center. The design team is evaluating two cooling strategies: Strategy A uses a traditional chiller-based system with a lower upfront cost, and Strategy B uses a free-air cooling system that consumes less energy but has a higher upfront cost. The provider's business model is based on long-term, predictable operational costs. Which strategy is more aligned with the provider's business model?

   • AStrategy A, because the lower upfront cost reduces CAPEX and improves the provider's short-term financial position.
   • BStrategy B, because free-air cooling is always the most sustainable option for any data center.
   • CStrategy B, because the lower energy consumption reduces OPEX and provides more predictable long-term operational costs.
   • DStrategy A, because cooling costs are a minor part of a data center's operational budget.
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