Lintner Beverage Corp. reported the following information from their financial statements:

Operating income (EBIT) = $10,500,000

Interest payments on long-term debt = $1,950,000

Dividend income = $1,150,000

Corporate tax rate = 25%

Assume a 50% dividend exclusion for taxes on dividends. What is the firm's total tax liability?

a. $2,425,000

b. $2,912,500

c. $2,625,000

d. $2,281,250

e. $2,137,500