Pete Inc. purchased 80% of Paul Co. for $240,000 when Pauls book value was $300,000. Paul has 50,000 shares outstanding and currently has a book value of $400,000. Assume Paul reacquired 8,000 shares of its common stock from outsiders at $10 per share. What should the adjusted book value of Paul be after the treasury shares were purchased?

$400,000.

$480,000.

$320,000.

$336,000.

$464,000.