Perez Company a Mexican subsidiary of a U.S. company sold equipment costing 20

Perez Company a Mexican subsidiary of a U.S. company sold equipment costing 200000 pesos with accumulated depreciation of 75000 pesos for 140000 pesos on
March 1 2011. The equipment was purchased on January 1 2010. Relevent exchange rates for the peso are as follows:

January 1 2010 $.11

March 1 2011 .106

December 31 2011 .102

Average 2011 .105

1. The financial statements for Perez are translated by its U.S. parent. What amount of gain or loss would be reported in its translated income statement?

2. The financial statements for Perez are remeasured by its U.S. parent. What amount of gain or loss would be reported in its income statement?