1. Hopeful Company's balance sheet is as follows: Hopeful Company Balance Sheet, pre-quasi-reorganization Assets Liabilities and Equity Cash $ 60,000 Loans payable $1,220,000 Inventories 550,000 Common stock, $10 par 550,000 Property (net) 950,000 Additional paid-in capital 400,000 Retained earnings (610,000) Total $1,560,000 Total $1,560,000 3. The company enters into a quasi-reorganization. Pursuant to this plan, inventories are written down by $50,000 and property is reduced by $180,000. The par value of the common stock is reduced to $2/share. At the completion of the quasi-reorganization process, the balance in the common stock, $2 par account is: A. $ 55,000 B. $110,000 C. $550,000 D. $440,000