Medi Corporation, a manufacturer of ethnic foods, contracted in 2016 to purchase 2,000 pounds of a spice mixture at $5.15 per pound, delivery to be made in May of 2017. By December 31, 2016, the price per pound of the spice mixture had risen to $5.65 per pound. In 2016, Medi should recognizea.

a loss of $1,000.
b.a gain of $1,000.
c.a loss of $10,300.
d.no gain or loss.