A widget manufacturer has installed new network servers, changing its network from P2P, to client/server-based networks. The network consists of 200 users who make an average of $20 an hour, working on 100 workstations. Previously, none of the workstations involved in the network had anti-virus software installed on the machines. This was because there was no connection to the Internet and the workstations did not have USB/disk drives or Internet connectivity, so the risk of viruses was deemed minimal. One of the new servers provides a broadband connection to the Internet, which employees can now use to send and receive email and surf the Internet. One of the managers read in a trade magazine that other widget companies have reported an annual 75% chance of virus infection after installing T1 lines, and it may take up to 3 hours to restore the system. A vendor will sell licensed copies of antivirus for all servers and the 100 workstations at a cost of $8,700 per year. The company has asked you to determine the annual loss that can be expected from viruses, and whether it is cost effective to purchase licensed copies of anti-virus software.

A widget manufacturer has installed new network servers, changing its network from P2P, to client/server-based networks. The network consists of 200 users who make an average of $20 an hour, working on 100 workstations. Previously, none of the workstations involved in the network had anti-virus software installed on the machines. This was because there was no connection to the Internet and the workstations did not have USB/disk drives or Internet connectivity, so the risk of viruses was deemed minimal. One of the new servers provides a broadband connection to the Internet, which employees can now use to send and receive email and surf the Internet. One of the managers read in a trade magazine that other widget companies have reported an annual 75% chance of virus infection after installing T1 lines, and it may take up to 3 hours to restore the system. A vendor will sell licensed copies of antivirus for all servers and the 100 workstations at a cost of $8,700 per year.

The company has asked you to determine the annual loss that can be expected from viruses, and whether it is cost effective to purchase licensed copies of anti-virus software.