Teal, Inc., a foreign corporation, pays a dividend to its shareholders on November 30. Red, Inc., a U.S. corporation and 7% shareholder in Teal, receives a dividend of 10,000K (a foreign currency). Pertinent exchange rates are as follows.

November 30 ……………………..    .9K:$1

Average for year …………………..   .7K:$1

December 31 ………………………   2K:$1

What is the dollar amount of the dividend received by Red, Inc.? Does Red have a foreign exchange gain or loss on receipt of the dividend?