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Fran Corp. reported pretax financial income of $390,000 and taxable income 422,000 for the year. Frans temporary timing difference between the book and cash basis

Fran Corp. reported pretax financial income of $390,000 and taxable income 422,000 for the year. Frans temporary timing difference between the book and cash basis is due to $32,000 of prepayments from customers. The tax rate for the corporation is 32%. Calculate the deferred tax asset.

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