When a merchant imported a certain item, she paid a 7 percent import tax on the portion of the total value of the item in excess of $1,000. If the amount of the import tax that the merchant paid was $109.20, what was the total value of the item?	Choose the correct choice from the following options.
A) $1,600
B) $1,850
C) $2,250
D) $2,440
E) $2,560
Let x be the value of the item.   0.07*(x-1000) = 109.20   x = 2560   The answer is $2,560.
<result>E</result>
When a merchant imported a certain item, she paid a 7 percent import tax on the portion of the total value of the item in excess of $1,000. If the amount of the import tax that the merchant paid was $109.20, what was the total value of the item?