Lupita dies in 2020 but has a $1 million life insurance policy that lists her spouse, MBaku as the beneficiary. MBaku elects to receive all $1 million in a lump sum and spends $200,000 immediately on a new yacht. MBakus gross income from the life insurance is:

a.$800,000 b.$200,000 c.$1,000,000 d.$0