A U$.$S$.$ parent acquired all of the stock of an Italian subsidiary on January $1,2023,$ for $1,950,000.$ The excess paid over book value was attributed to goodwill, which was impaired by $65,000$ during $2023.$ The subsidiary$$s January $1$ and December $31,2023,$ trial balances are as follows, in euros:

December $31,2023$ Dr $($Cr$)$ January $1,2023$ Dr $($Cr$)$

Cash, receivables $234,000260,000$

Inventories, at FIFO cost $650,000520,000$

Plant & equipment, net $1,690,0002,080,000$

Liabilities $(1,404,000)(1,820,000)$

Capital stock $(260,000)(260,000)$

Retained earnings, beginning $(780,000)(780,000)$

Dividends $130,000$

Sales revenue $(5,200,000)$

Cost of goods sold $2,990,000$

Depreciation expense $390,000$

Out$-$of$-$pocket expenses $1,560,000$

$00$

Sales, purchases, and recurring out$-$of$-$pocket expenses occurred evenly throughout the year. The subsidiary$$s beginning inventory for $2023$ was purchased at the end of $2022.$ The subsidiary did not purchase any plant & equipment during $2023.$ Exchange rates $($$$/)$ are:

$$/$

January $1,2023$ $$1\mathrm{.}18$

Average for $20231\mathrm{.}23$

Rate when dividends declared $1\mathrm{.}25$

Rate when ending inventory purchased $1\mathrm{.}27$

December $31,20231\mathrm{.}28$

If the subsidiary$$s functional currency is the euro, what is the balance for $2023$ out$-$of$-$pocket expenses, in U$.$S$.$ dollars?

Select one:

a$.$ $$1,560,000$

b$.$ $$1,996,800$

c$.$ $$1,840,800$

d$.$ $$1,918,800$