Evaluate Alternative Financing Plans Henriksen Co., which produces and sells biking equipment, is financed as follows: Bonds payable, 5% (issued at face amount) Preferred $2.00 stock, $100 par $6,000,000 3,000,000 5,000,000 Common stock, $25 par Income tax is estimated at 40% of income. What factors other than earnings per share should be considered in evaluating alternative financing plans? a. Bonds represent a fixed annual interest requirement, while dividends on stock do not. Ob. Dividends reduce retained earnings. Oc. Bond holders exercise control over board of directors decisions. C.