The statement of financial position for Cardenas Corporation just...

The statement of financial position for Cardenas Corporation just prior to quasi-reorganization was shown below:

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Cardenas Corporation Statement of Financial Position As of July 31, 20x2 Assets Current Assets P 400,000 Land 200,000 Buildings and Equipment 1,700,000 Less: Accumulated Depreciation-Buildings and (600,0000 Equipment Total Assets P 1,700,000 Liabilities and Shareholders' Equity Current Liabilities P 200,000 Ordinary Share Capital (par P50) 1,600,000 Ordinary Share Premium 320,000 Retained Earnings (deficit) (420,000) Total Liabilities and Shareholder's Equity P 1,700,000

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On August 15, 20x2, the shareholders approved a reorganization plan with these provisions:

• Gross buildings and equipment are to be adjusted to their current value P 1,100,000; the accumulated depreciation is to reflect 40% depreciation on the revised value.
• The Ordinary Share capital is to be reduced to a par value of P 20 per share.
• The deficit is to be applied to the ordinary share premium ; any excess is to be charged to the ordinary share premium from the reduction in value assigned to the ordinary share capital created by the restatement of the ordinary share capital.

Required:

After effecting the reorganization plan, the balance of retained earnings is now ________________________________.