24. Elman Co. is considering the following alternative plans for financing their compan Plan I Plan II Issue 10 Bonds (at face $3,000,000 Issue $10 (par value) Common Stock $4,000,000 $1,000,000 Income tax is estimated at 40% of income. Determine the earnings per share of common stock under the two alternative financing plans assuming income before bond interest and income tax is $1,000,000 Plan I Plan II $1,000,000 Earnings before bond interest and income tax $1,000,000 Deduct interest on bonds Income before income tax Deduct Income Tax Net Income after Income Tax Less: Dividends on Preferred Stock Available for Dividends on Common Stock Divided by: Shares of Common Stock Outstanding Earnings Per Share on Common Stock