A project manager needs to provide a cost benefit analysis to support a software security initiative business case. The project manager has asked you to perform a ROI study. It has been estimated that by spending $300,000 on the software security initiative, a 30% savings in cost will be realized for each project. Based on an average of 8 software projects at a current cost of $50,000 each, how
many years will it take to see a positive ROI?
A. 2-3 years
B. 3 years
C. 3-4 years
D. 4 years
C
Explanation: Each project will realize a savings of 30%, meaning each project will save $15,000. With 8 projects, that is $120,000 annually. It will take 3-4 years to see a positive ROI.
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