P Corporation purchases 100% of S Corporation’s stock for $2 million on January 1 of the current year. The corporations elect to file a consolidated tax return. During the current year, S reports $350,000 of taxable income and $30,000 of tax-exempt interest income, and it distributes a $100,000 dividend to P. Each corporation pays its portion of the consolidated tax liability. Assume a 34% corporate tax rate. What is P’s basis for its S stock at the end of the current year?