Sam and Teresa, a married couple both age 48, received a distribution of $15,000 from Sam's qualified retirement plan during 2015. The $15,000 was used to pay medical expenses Sam owed to the hospital from a car accident in 2015. Their 2015 adjusted gross income was $50,000 for 2015 and they do not use itemized deductions. What is the amount, if any, of the penalty on the early distribution for 2015?

a. $1,500

b. $-0-

c. $1,367

d. $500