Jacklyn King has been asked to do some accounting for Alexeeff Corp.'s pension plan. At the beginning of the period, the PBO was $12 million, and the fair market value of plan assets totaled $8 million. The discount rate is 9%, expected return on plan assets is $0.96 million, and the anticipated compensation growth rate is 4%. At the end of the period, it was determined that the actual return on assets was 14%, plan assets equaled $9 million, and the service cost for the year was $0.9 million. Ignore amortization of unrecognized prior service costs and deferred gains and losses. Pension expense for the year is closest to: A. $0.72 million. B. $0.86 million. C. $1.02 million.