At the beginning of 2018; Crane, Inc. had a deferred tax asset of $14000 and a deferred tax liability of $24000. Pre-tax accounting income for 2018 was $1380000 and the enacted tax rate is 40%. The following items are included in Crane's pre-tax income: Interest income from municipal bonds $108000 Accrued warranty costs, estimated to be paid in 2019 $248000 Operating loss carryforward $178000 Installment sales profit, will be taxed in 2019 $118000 Prepaid rent expense, will be used in 2019 $54000 Which of the following is required to adjust Crane, Inc.'s deferred tax asset to its correct balance at December 31, 2018?
A credit of $99200
A credit of $79600
A debit of $79600
A debit of $85200
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