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During 2 0 x 5 , taxpayer Allie Ann, who itemizes on her federal income tax return, won $ 1 0 , 0 0 0

During 20x5, taxpayer Allie Ann, who itemizes on her federal income tax return, won $10,000 at a local casino. She also made two visits to the track -- winning $1,000 on the first visit and losing $4,000 in the second. On her federal income tax return for 20x5, Allie should ...
A. Report gross income of $10,000 and claim an itemized deduction of $3,000
B. Report gross income of $7,000
C. Report gross income of $11,000 and claim an itemized deduction of $4,000
D. Report gross income of $10,000 and claim a deduction for AGI of $3,000
E. None of the above

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