3. In year 1, Joe issued 20,000 shares of $5 par common stock at $11 per share. On December 31, year 1, Joe's retained earnings was $400,000. In March year 2, Joe reacquired 5,000 shares of its common stock at $20 per share. In June year 2. Joe sold 1,000 of these shares at $25 per share. Net income for the year ended December 31, year 2, was $80,000. At December 31, year 2, what amount should Joe report as retained earnings? Answer 1 . AA