Cullumber Co., organized on January 2, 2021, had pretax accounting income of $ 850000 and taxable income of $ 2570000 for the year ended December 31, 2021. The only temporary difference is accrued product warranty costs which are expected to be paid as follows:

2022	$ 602000
2023	258000
2024	258000
2025	602000

The enacted income tax rates are 25% for 2021, 20% for 2022 through 2024, and 15% for 2025. If Cullumber expects taxable income in future years, the deferred tax asset in Cullumber's December 31, 2021 balance sheet should be

a. $ 430000.

b. $ 313900.

c. $ 279500.

d. $ 223600.