Heidi, Age 45, Has Contributed $20,000 in Total to Her

Multiple Choice

Heidi, age 45, has contributed $20,000 in total to her Roth 401(k) account over a six-year period. When her account was worth $50,000 and Heidi was in desperate need of cash, Heidi received a $30,000 nonqualified distribution from the account. How much of the distribution will be subject to income tax and 10% penalty?

A) $0.
B) $10,000.
C) $12,000.
D) $18,000.
E) $30,000.