This question evaluates understanding of string algorithms and dynamic programming, measuring competency in formulating DP-based solutions, analyzing time and space complexity, and reasoning about algorithmic optimizations within the coding and algorithms domain.

Given a string s and integer k, decide whether s can be transformed into a palindrome by deleting at most k characters. Provide an algorithm to compute the minimum number of deletions required to make s a palindrome and compare it with k. Discuss a DP solution and its time/space trade-offs, and outline optimizations for large inputs.