7

At December 31, 2025, Waterway Corporation has a deferred tax asset of $184,000. After a careful review of all available evidence, it is determined that it is more likely than not that $55,200 of this deferred tax asset will not be realized. Prepare the necessary journal entry. (List debit entry before credit entry. Credl occount tittes dre outomaticoliy indentied when amountis entered. Do not indent manually. If no entry ls required, select 'No Entry" for the occount titles and enter 0 for the onounts)