Carol Had Adjusted Gross Income of $40,000 in 2015

Multiple Choice

Carol had adjusted gross income of $40,000 in 2015.Late in the year she had an accident with her car and sustained a $1,000 loss,the amount of her insurance policy deductible.Her home was broken into and she had $15,000 of jewelry stolen (basis = $12,000) ; her insurance only covered $5,000 of this loss.What is her deductible loss?

A) $7,800
B) $3,800
C) $7,000
D) $3,000