What confidence level must management have that a tax position will be sustained on audit before it can recognize any portion of the related deferred tax asset under ASC740?

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According to ASC740, a tax position must be more likely than not (i.e., have a probability of realization of greater than 50%) to be sustained on audit before any portion of the related deferred tax asset can be recognized. Choices A, B, and D are incorrect because they do not meet this threshold.

What Confidence Level Must Management Have That a Tax Position