Alternative Financing Plans Frey Co. is considering the following alternative financing plans: Plan 1 Issue 10% bonds (at face value) $1,440,000 Issue preferred $1 stock, $10 par Issue common stock, $5 par 1,440,000 Income tax is estimated at 40% of income. Plan 2 $720,000 1,200,000 960,000 Determine the earnings per share on common stock, assuming that income before bond interest and income tax is $576,000. Enter answers in dollars and cents, rounding to two decimal places. Plan 1 $ 2.3 X Earnings per share on common stock Plan 2 $ 2.30 X Earnings per share on common stock