In 2016, Pecan Corporation (a calendar year taxpayer) had the following transactions:

Taxable income $4,000,000

Mining exploration costs claimed 1,000,000

Percentage depletion claimed (the property had a zero adjusted basis) 1,400,000

Donation of stock held since 1988 as investment (basis of $100,000 and fair market value of $400,000) to a qualified charity 300,000 Costs of goods sold 1,200,000

For 2016, Pecan Corporation's AMTI is:

a. $7,300,000

b. $6,300,000

c. $7,250,000

d. $7,150,000

e. None of these choices are correct