Vespa produces electric scooter batteries, which are then sent to the United States where they are installed in electric scooters. Lime Inc., a U.S. scooter company, received a shipment of batteries on December 15, 2017. The batteries were subsequently paid for on January 30, 2018. The invoice was denominated in Korean won and totaled 4,500,000 won. The number of Korean won required to purchase 1 U.S. dollar fluctuated as follows:

	Exchange Rates
December 15, 2017	1,000
December 31, 2017	900
January 30, 2018	880

The necessary journal entry made on 12/31/17 would include which of the following -

• CREDIT to Accounts Payable (fc) for $4,500
• DEBIT to Exchange Rate Loss for $500
• None of these
• DEBIT to Accounts Payable (fc) for $5,000
• DEBIT to Exchange Rate Loss for $114