Assume the same facts as Question 22, except that James rented the Lake Tahoe home for 40 days for $4,600. What is hisnet income or loss from the rental of his home (without considering the passive loss limitation)? Use the IRS method for allocation of expenses.

a. $0.

b. $1,925 net income.

c. $4,600 net income.

d. $6,100 net loss.