A Defendant Believes There Is an 80 Percent Chance That

A defendant believes there is an 80 percent chance that the plaintiff will win $1,000,000 and a 20 percent chance that the plaintiff will lose and be awarded nothing (zero) . The plaintiff believes that there is a 90 percent chance that they will win $1,000,000 and a 10 percent chance that they will be awarded nothing (zero) . The plaintiff's litigation cost is $500,000 and the defendant's litigation cost is $400,000. The defendant would be willing to pay any amount up to ________ to settle.

A) $800,000
B) $1,200,000
C) $1,000,000
D) $900,000