Entity I needs to raise $1 million to finance a plant expansion. An advantage of meeting this requirement by issuing shares of common stock (rather than issuing bonds payable) is that: investors will be required to purchase more common stock to retain their same percentage ownership of the company. the company will be able to deduct for tax purposes any dividends on common stock in arriving at net income, the company will be able to deduct dividends paid on common stock. with common stock, the company may choose to pay low or no dividends