A private corporation was organized on June 30 and follows ASPE. At that time, 100,000 shares of common were issued at $22.00 per share cash. $780,000 of the proceeds was used to buy items needed to run the business. For example, equipment. The corporation had promised to pay $2.00 per share in dividends during the year if net income exceeded $400,000. Net income was $600,000. However, due to a cash shortage the corporation and shareholders agreed not give out a dividend. If no other transaction occurred which would affect retained earnings, the corporation should report on June 30 of the following year, retained earnings of: $600,000 $400,000 $200,000 Not enough information is given to answer this