Molly Is Interested Buying Polly's Antique Doll House

Molly is interested buying Polly's antique doll house. Molly is prepared to spend up to $2,500. Polly will not sell the doll house for less than $2,000. Suppose that any failure to reach an agreement reduces Molly's and Polly's gain by 20 percent. If there is no limit to the number of bargaining rounds, how much should Polly accept for the antique doll house?

A) $2,000.
B) An amount somewhat less than $2,250.
C) An amount somewhat greater than $2,750.
D) $2,500.
E) None of the above since Andrew and Adam will be unable to negotiate a selling price.