Recognizing a Valuation Allowance for a Deferred Tax Asset Requires

Recognizing a valuation allowance for a deferred tax asset requires that a company

A) consider all positive and negative information in determining the need for a valuation allowance.
B) consider only the positive information in determining the need for a valuation allowance.
C) take an aggressive approach in its tax planning.
D) pass a recognition threshold, after assuming that it will be audited by taxing authorities.