AMC 8 1989 Problem 21

Jack had a bag of $128$ apples. He sold $25\%$ of them to Jill. Next he sold $25\%$ of those remaining to June. Of those apples still in his bag, he gave the shiniest one to his teacher. How many apples did Jack have then? $\text{(A)}\ 7 \text{(B)}\ 63 \text{(C)}\ 65 \text{(D)}\ 71 \text{(E)}\ 111$