On July 1,Crimson Corporation Had 200,000 Shares of $10 Par

On July 1,Crimson Corporation had 200,000 shares of $10 par common stock outstanding.The market price of the stock was $12 per share.On the same date,Crimson declared a 1-for-2 reverse stock split.The par value of the stock was increased from $10 to $20,and one new $20 par share was issued for each two $10 par shares outstanding.Immediately before the 1-for-2 reverse stock split,Crimson's additional paid-in capital was $650,000.What should be the balance in Crimson's additional paid-in capital account immediately after the reverse stock split?

A) $450,000
B) $650,000
C) $850,000
D) $1,050,000