Cross Company reported the following results for the year ended December 31, 2012, its first year of operations:

2012

Income (per books before income taxes) $ 1,250,000

Taxable income 2,000,000

The disparity between book income and taxable income is attributable to a temporary difference which will reverse in 2013. What should Cross record as a net deferred tax asset or liability for the year ended December 31, 2012, assuming that the enacted tax rates in effect are 40% in 2012 and 35% in 2013?