On April 1, Year 1, Mary Borrowed $200,000 to Refinance

On April 1, year 1, Mary borrowed $200,000 to refinance the original mortgage on her principal residence. Mary paid 1 points to reduce her interest rate from 6 percent to 5 percent. The loan is for a 30-year period. How much can Mary deduct in year 1 for her points paid?

A) $50.0.
B) $67.0.
C) $1,500.
D) $2,000.