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13. Ghabib Marble Co. is considering the following alternative plans for financing its company. Issue 10% bonds(at face value) Issue common stock $10 par
13. Ghabib Marble Co. is considering the following alternative plans for financing its company. Issue 10% bonds(at face value) Issue common stock $10 par Plan 1 Plan 2 $2,000,000 $3,000,000 1,000,000 Income tax is estimated at 40% of income. Instructions: Determine the earning per share of common stock under the alternative financing plans, assuming income before bond interest and income tax is $750,000
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