On July 1, 2020, Mifflin Company borrowed 300,000 euros from a foreign lender evidenced by an interest-bearing note due on July 1, 2021. The note is denominated in euros. The U.S. dollar equivalent of the note principal is as follows:

Date	Amount
July 1, 2020 (date borrowed)	$	275,000
December 31, 2020 (Mifflins year-end)		269,200
July 1, 2021 (date repaid)		257,500

In its 2021 income statement, what amount should Mifflin include as a foreign exchange gain or loss on the note?

Multiple Choice

• $11,700 gain

• $11,700 loss

• $17,500 gain

• $17,500 loss