Makai Corporation claims a $1,000 deduction in its current year tax return and also determines that the tax position meets the recognition threshold of more likely than not but cannot be measured by a single amount. The possible outcomes and their probabilities determined by Makai are as follows:

POSSIBLE PROBABILITY OF CUMULATIVE PROBABILITY OUTCOME OCCURRING OF OCCURRING

$1,000 10% 10%

$750 30% 40%

$600 25% 65%

$500 15% 80%

$200 10% 90%

$100 5% 95%

0 5% 100%

What is the deduction Makai would recognize for its financial statements according to FIN 48?

AppendixLO1