Question: At December 3 1 , 2 0 2 5 , Pharoah Corporation had an estimated warranty liability of $ 8 8 , 0 0 0

At December 31,2025, Pharoah Corporation had an estimated warranty liability of $88,000 for accounting purposes and $0 for tax purposes. (The warranty costs are not deductible until paid.) The effective tax rate is 30%. Compute the amount Pharoah should report as a deferred tax asset at December 31,2025. Deferred tax asset at December 31,2025 $

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