Baum, an unmarried optometrist and sole proprietor and maintains a course of business. in the current year, Optics had $350 uniform capitalization rules. Baum's current year adjusted gross income was $90,000 and Baum q year, Baum recorded the following information tor of Optics, buys and maintains a supply of eyegiasses and trames to sell in the ord inary 000 in gross business receipts and its year-end inventory was not subject to the ualitied to itemize deductions During the Optics cost of goods sold Optics rent expense Liability insurance premium on Optics $ 35,000 28,000 5,250 S 29,750 8,750 2,625 Baum's self-employment tax Baum's self-employment health insurance Insurance premium on personal residence. In the current year, Baum's home was totally destroyed by fire. The fumiture had an adjusted basis of $14.000 and a fair market value of $11,000. During the year, Baum collected $3,000 in insurance reimburs ement and had no casualty gains during the year Qualified mortgage interest on a loan secured in 2016 to acquire a personal residence 52.500 Annual interest on a $70,000, 5-year home equity loan. The loan was secured by Baum's home, obtained January 2 of the current year. The fair market value of the home exceeded the mortgage and the home equity loan by a substantial amount. The proceeds were used to purchase a car for personal use. 3,500 Points prepaid on January 2 of the current year to acquire the home equity loan Real estate taxes on personal residence Estimated payments of current year federal income taxes Loc al property taxes on the car value, used exclusively for personal use 1,400 2,200 13,500 300 What amount should Baum report as current year net earnings from self-employment? A. $252.000 B. $243,250 C. $281,750 D. $273,000