4.3 The analysis of the Texaco-Pennzoil example shows that the EMV of counter offering with $5 billion far exceeds $2 billion. Why might Liedtke want to accept the $2 billion anyway? If you were Liedtke, what is the smallest form from Texaco that you would accept?

Please explain your answer what and why is the smallest form from texaco that you would accept?

Thank you

Settlement Amount ($ Billion) Accept $2 Billion Texaco Accepts $5 Billion Final Court Decision Counteroffer $5 Billion Texaco Refuses Counteroffer Texaco Counteroffers $3 Billion Final Court Decision Refuse Accept $3 Billion Settlement Amount ($ Billion) Accept $2 Billion Texaco Accepts $5 Billion Final Court Decision Counteroffer $5 Billion Texaco Refuses Counteroffer Texaco Counteroffers $3 Billion Final Court Decision Refuse Accept $3 Billion