Jackson Corporation (a U.S.-based company) sold parts to a Korean customer on December 16, 2024, with payment of 20 million Korean won to be received on January 15, 2025. The following exchange rates applied:

DateSpot RateForward Rate to January 15December 16, 2024$ 0.00082$ 0.00089December 31, 20240.000800.00083January 15, 20250.000860.00086

Assuming a forward contract was entered into on December 16 as a fair value hedge, what would be the net foreign exchange gain or loss on Jackson's 2025 related to this transaction? Jackson amortizes forward points using the straight-line method. Ignore present values.

Multiple Choice

$700 (gain)

$600 (loss)

$700 (loss)

$0

$600 (gain)