In 2020, Wally had the following insured personal casualty losses (arising from one casualty). Wally also had $42,000 AGI for the year before considering the casualty. Wally's casualty loss deduction is:

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17. In 2020, Wally had the following insured personal casualty losses (arising from one casualty). Wally also had $42,000 AGI for the year before considering the casualty. Fair Market Value Before After $8,000 $1,000 4,000 -0- 1,700 Insurance Recovery $2,000 4,000 -0. 900 Asset Adiusted Basis A $9,200 B 3,000 3,700 Wally's casualty loss deduction is: a. $1,500 b. $1,600 c. $4,800. d. $58,000 e, None of the above