Levinson Company established a subsidiary in Mexico on Janua…

Levinsоn Cоmpаny estаblished а subsidiary in Mexicо on January 1, 2024. The subsidiary engaged in the following transactions during 2024: January 1 Sold common stock to Levinson for 7,500,000 pesos.   Purchased inventory throughout the year, 10,000,000 pesos. (¼ of the inventory remained at year end.)   Sales for the year totaled 14,000,000 pesos. December 31 Purchased equipment for 1,500,000 pesos. Levinson concluded that the subsidiary's  functional currency was the dollar. Exchange rates for 2024 were: January 1 1 peso = $ 0.23 January 31 1 peso = $ 0.21 December 31 1 peso = $ 0.17 Weighted average rate for the year 1 peso = $ 0.20 What amount of foreign exchange gain or loss would have been recognized in Levinson’s consolidated income statement for 2024? $825,000 gain $685,000 gain $270,000 loss $570,000 loss $315,000 loss