Oldham, Incorporated conducts business in State M and State N, which both use the UDITPA three-factor formula to apportion income. State Ms corporate tax rate is 4.5 percent, and State Ns corporate tax rate is 7 percent. This year, Oldham had the following sales, payroll, and property (in thousands of dollars) in each state:

State M State N Total Gross receipts from sales $ 3,000 $ 7,500 $ 10,500 Payroll expense 800 1,200 2,000 Property costs 900 1,000 1,900

Required: If Oldhams before-tax income was $3 million, compute its State M and State N tax.