Glenn and Mary’s house was damaged by a hurricane in 20X4. 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 20X4, if their adjusted gross income was $40,000?

a. $10,900

b. $11,000

c. $14,900

d. $15,000