On October 31, 2020. Lake Co. approves a plan to dispose of it's Rake Division. On December 31, 2020, the Rake Division was held for sale but had not been sold. Rake Division reported a net loss from operations of $300,000 before tax for the year ended December 31, 2020. Rake Co. has a book value of $1,500,000 and a fair value of $1,000,000. The assumed tax rate is 25%. What amount should Lake Co. report as the impairment loss for the discontinued operation on the 12/31/20 Income Statement? $225,000 $500,000 No impairment loss should be recognized because the Division was not sold. $375,000