Glenn and Mary’s house was damaged by a hurricane in 2017. The fair value of their home before the hurricane was $150,000. After the hurricane, the fair value of their home was $125,000. They received $10,000 from their homeowner’s insurance policy. What is their casualty loss deduction for 2017 if their adjusted gross income was
$40,000?
a. $10,900
b. $11,000
c. $14,900
d. $15,000