Prior to Being United in a Business Combination, Botkins Inc

Multiple Choice

Prior to being united in a business combination, Botkins Inc. and Volkerson Corp. had the following stockholders' equity figures: $\begin{array}{lrr}&\text { Botkins }&\text {Volkerson }\\\text { Common stock ( } \$ 1 \text { par value) } & \$ 220,000 & \$ 54,000 \\\text { Additional paid-in capital } & 110,000 & 25,000 \\\text { Retained earnings } & 360,000 & 130,000\end{array}$ Botkins issued 56,000 new shares of its common stock valued at $3.25 per share for all of the outstanding stock of Volkerson. Assume that Botkins acquired Volkerson on January 1, 2012. At what amount did Botkins record the investment in Volkerson?

A) $56,000.
B) $182,000.
C) $209,000.
D) $261,000.
E) $312,000.