Gina, age 37, converted an $80,000 traditional IRA to a Roth IRA last year. Her adjusted basis in the traditional IRA is $20,000. She also made a contribution of $5,000 to the same Roth IRA last year. Gina is in a combined 30% marginal tax rate. If Gina takes a $4,000 distribution from her Roth IRA this year, how much total federal tax, including penalties, is due as a result of the distribution?

a.

$0.

b.

$1,600.

c.

$400.

d.

$1,200.