Both Nadia and Samantha are applying to insure their car against theft. Nadia lives in a secure neighborhood, where the probability of theft is 10%. Samantha lives in a lesser secure neighborhood where the probability of theft is 25%. Both Nadia and Samantha own cars worth $10,000, and are willing to pay $100 over expected loss for insurance. If the insurance company can successfully screen both Nadia and Samantha into appropriate contracts, it would earn:

a. $3500 loss.
b. Between zero and $200.
c. Between zero and $200 loss.
d. $3500 gain.