The following are two independent situations related to The following are two independent situations related to future taxable and deductible amounts that resulted from temporary

differences at December $31,2023.$ In both situations, the future taxable amounts relate to property, plant, and equipment

depreciation, and the future deductible amounts relate to settlements of litigation that were previously accrued in the accounts.

Pharoah Corp. has developed the following schedule of future taxable and deductible amounts:

Pharoah reported a net deferred tax liability of $$1,020$ at January $1,2023.$

Sheridan Corp. has the following schedule of future taxable and deductible amounts:

Sheridan reported a net deferred tax asset of $$1,300$ at January $1,2023.$

Both Pharoah and Sheridan have taxable income of $$7,600$ in $2023$ and expect to have taxable income in all future years. The tax rates

enacted as of the beginning of $2023$ are $25\%$ for $2023$ to $2026,$ and $30\%$ for $2027$ and subsequent years. All of the underlying

temporary differences relate to non$-$current assets and liabilities. Both Sheridan and Pharoah report under IFRS.