Picasso Co. issued 10,000 shares of its $1 par common stock, valued at $400,000, to acquire shares of Bull Company in an all-stock transaction. Picasso paid the investment bankers $35,000. Picasso will treat the investment banker fee as

		a reduction in paid-in capital
		a prior period adjustment to Retained Earnings
		an expense for the current year
		additional goodwill on the consolidated balance sheet