An analysis of shareholders' equity of Medina Corporation as of January 1, 2017 is as follows:

Ordinary shares, par value P20; authorized

100,000 shares; issued and outstanding

60,000 shares

1,200,000

Capital in excess of par value

140,000

Retained earnings

760,000

Total

2,100,000

Medina uses the cost method of accounting for treasury shares and during 2017 entered into the following transactions:

• Acquired 1,000 of its shares for P35,000.
• Sold 600 treasury shares at P38 per share.
• Retired the remaining treasury shares.

Assuming no other equity transactions occurred during 2017 what should Medina report at December 31, 2017 as capital in excess of par value?

Select one:

a. P 156,800

b. P 135,800

c. D: P 140,000

d. P 150,800