Malcolm Moore, single, had medical expenses of $5,000 last year. His AGI last year was $30,000. He was reimbursed $4,500 this year by his insurance company. Malcolm claimed the standard deduction last year. What amount must he include in this year's tax return as gross income?

a. $5,000

b. $4,500

c. $3,000

d. $2,700

e. $0