Heather's Interest and Gains on Investments for the Current Year

Heather's interest and gains on investments for the current year are as follows: $$\begin{array} { l r } \text { Interest on Madison County school bonds } & \$ 600 \\\text { Interest on U.S. government bonds } & 700 \\\text { Interest on a Federal income tax refund } & 200 \\\text { Gain on the sale of Madison County school bonds } & 500\end{array}$$ ? Heather's adjusted gross income from the above is: or;
?
Heather must report gross income in the amount of:
?

A) $2,000.
B) $1,800.
C) $1,400.
D) $1,300.
E) None of these.