The stockholders' equity section of Brown Co.'s December 31, 20X5 balance sheet consisted of the following:
Common stock, $30 par, 10,000 shares authorized and outstanding $300,000
Additional paid-in capital 150,000
Retained earnings (deficit) (210,000)
On January 2, 20X6, Brown put into effect a stockholder-approved quasi-reorganization by reducing the par value of the stock to $5 and eliminating the deficit against additional paid-in capital. Immediately after the quasi-reorganization, what amount should Brown report as additional paid-in capital?
1) $(60,000)
2) $150,000
3) $190,000
4) $400,000