Hal Gore won a $1 million prize for special contributions to environmental research. This prize is awarded for public achievement, and Hal directed the awarding organization to transfer $400,000 of the award to the Environmental Protection Agency. How much of the prize should Hal include in his gross income?

A. $400,000
B. $600,000
C. $1 million
D. None of these because all prizes are excludible
E. None of these because prizes from charities are excludible