Sally's adjusted gross income is $38,000. She owns a home and has mortgage interest expense of $9500, charitable contributions of $1500, property tax of $7,000 and interest on her car loan of $2,100. This year she also had medical expenses of $2,000. She is allowed a standard deduction of $12,000. What is Sally's taxable income?

Question 12 options:

A.$38,000

B.$31,300

C.$20,000

D.$29,200