Clifton Corporation acquired all of the outstanding Gillion stock on January 1, Year 1, for $5,364,400. The parties immediately elected to file consolidated Federal income tax returns. Gillion reported a Year 1 taxable loss of $804,660, but it generated $1,072,880 of taxable income in Year 2 and $536,440 in Year 3 . Gillion paid a $268,220 dividend to Clifton in Year 2 and a $8,047 in Year 3. Compute Clifton's stock basis in Gillion on the last day of each of the indicated tax years. Year 1: : Year 2: Year 3: 5