James owns a home in Lake Tahoe, Nevada, that he rented for $5,000 for 40 days during the summer. He lived there for a total of 120 days, and the rest of the year, the house was vacant. The expenses for the hone included $6,200 in mortgage interest, $980 in property taxes, $1,460 in maintenance and utilities, and $2,780 in depreciation. What is his net income or loss from the rental of his hone (without considering the passive loss limitation)? Use the IRS method for allocation of expenses.

A. $0

B. $2,145 net income

C. $5,000 net income

D. $6,420 net loss