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help with this quesiton please. Thank you! Fugate Inc. is considering these two alternatives to finance its construction of a new $1,073,000 plant: Issuance of
help with this quesiton please. Thank you!
Fugate Inc. is considering these two alternatives to finance its construction of a new $1,073,000 plant: Issuance of 107,300 shares of common stock at the market price of $10 per share. Issuance of $1,073,000, 7% bonds at face value. Complete the table. (Round earnings per share to 2 decimal places, e.g. $2.66.) Issue Stock Issue Bond Income before interest and taxes $1,601,000 1,601,000 Interest expense from bonds 75110 Income before income taxes $1,601,000 Income tax expense (30%) Net income Outstanding shares 632,300 Earnings per share Fugate Inc. is considering these two alternatives to finance its construction of a new $1,073,000 plant: Issuance of 107,300 shares of common stock at the market price of $10 per share. Issuance of $1,073,000, 7% bonds at face value. Complete the table. (Round earnings per share to 2 decimal places, e.g. $2.66.) Issue Stock Issue Bond Income before interest and taxes $1,601,000 1,601,000 Interest expense from bonds 75110 Income before income taxes $1,601,000 Income tax expense (30%) Net income Outstanding shares 632,300 Earnings per shareStep by Step Solution
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