Katie and Mike Own a Home in Newport Beach,California

Katie and Mike own a home in Newport Beach,California.During the year,they rented the house for 80 days for $24,000 and used it for personal use for 30 days.The expenses for the house included $20,000 in mortgage interest,$8,500 in property taxes,$6,000 in utilities,$2,000 in maintenance,and $12,000 in depreciation.What is the deductible loss for the rental of their home without considering the passive loss limitation) ? Use the IRS method for allocation of expenses.

A) $27,500 net loss.
B) $0.
C) $5,000 net income.
D) $17,414 net loss.