Kuhns Corp. has 240,000 shares of preferred stock outstanding that is cumulative and 100,000 common stock outstanding. The preferred dividend is $6.40 per share and has not been paid for 3 years. If Kuhns earned $1.80 million this year, what could be the maximum payment to the preferred stockholders on a per share basis? (Round your answer to 2 decimal places.)

Multiple Choice

• $9.00 per share

• $7.50 per share

• $6.40 per share

• $9.75 per share