The stockholders' equity section of Konkel Corporation as of December 31, 2019 was as follows

On February 29, 2020, the board of directors declared a 10% stock dividends and accordingly

2,000 additional shares were issued. On February 29, 2020, the fair value of the stock was $7 per

19 The stockholders' equity section of Konkel Corporation as of December 31, 2019 was as follows Common Stock, $2 par value, authorized 20,000 shares, Issued and Outstanding 10,000 shares Paid in capital in excess of par Retained Earnings 20,000 40,000 90,000 On February 29, 2020, the board of directors declared a 10% stock dividends and accordingly 2,000 additional shares were issued. On February 29, 2020, the fair value of the stock was $7 per share. For the two months ended February 29, 2020 Konkel reported net income of $2,000. What amount should Konkel report as Retained earnings as of February 29th? Retained Earnings Balance