Detroit Corporation Sued Chicago Corporation for Intentional Damage to Detroit's

Detroit Corporation sued Chicago Corporation for intentional damage to Detroit's goodwill.Detroit had created its goodwill through providing high-quality services to its customers.Thus,no basis for the goodwill appeared on Detroit's balance sheet.The suit was settled and Detroit received $1,000,000 for the damages to its goodwill.

A) The $1,000,000 is taxable because Detroit has no basis in the goodwill.
B) The $1,000,000 is not taxable because Detroit did nothing to earn the money.
C) The $1,000,000 is taxable because it represents a recovery of capital.
D) The $1,000,000 is not taxable because Detroit settled the case.
E) None of the above.