Edie's Health and Beauty Supply Has 125,000 Shares of Stock

Edie's Health and Beauty Supply has 125,000 shares of stock outstanding with a par value of $1 per share and a market value of $5 a share.The company has retained earnings of $76,500 and capital in excess of par of $340,000.The company just announced a 1-for-5 reverse stock split.What will the par value per share be after the split?

A) $.20
B) $.50
C) $1.00
D) $2.50
E) $5.00