Based upon the following facts of Fred, Inc., calculate Fred's adjusted current earnings (ACE):
Alternative minimum taxable income (AMTI) $7,220,000
Municipal bond interest 630,000
Expenses related to municipal bonds 61,000
Key employee life insurance proceeds in excess of cash surrender value 2,000,000
Increase in LIFO recapture amount 170,000
Organization expense amortization 200,000
Cost of goods sold 4,922,000
Advertising expenses 631,000
Loss between related parties 230,000
Life insurance premiums paid on key person policy 310,000
Administrative expenses 521,014
Adjusted current earnings is $