Exeter International owns a foreign subsidiary, Albo Corporation. Exeter formed Albo to manufacture insulation on its behalf, and imports the goods for resale in the United States. Exeter and its subsidiary experienced the following events during the current fiscal year:
Event Cost
The government in the country in which Albo operates expropriated
all of the assets of United States companies, causing a loss on the
forced abandonment of plant and equipment. $500,000
The unrest in the country in which Albo operated caused foreign
exchange instability prior to the expropriation and generated a
foreign exchange loss as shown. $150,000
The goods manufactured by Albo contain a material discovered to
be poisonous, which was immediately outlawed for use as insulation
in the United States. Exeter has no alternative use for its inventory of
Albo's products. Inventory in US dollars is valued as indicated. $100,000
Construction companies purchasing insulation from Exeter have
suspended payment to Exeter for any product. Virtually all of
Exeter's receivables are considered to be in default. $200,000
Exeter's CEO received a pre-negotiated severance package. $ 80,000
Before considering taxes, what is the amount of Exeter's extraordinary loss under U.S. GAAP?