Warren Inc. purchased a $400,000 life insurance policy on the company president on January 1, 2017. The premium that was paid on January 1 amount to $11,60. In the first year, cash surrender value increased by $900 and dividends received by Warren from the insurance company for the year amount to $300. What was Warren's insurance expense for 2017?

Select one:

a. $12,500

b. $12,800

c. $10,400

d. $11,000