Interest versus dividend expense Michaels Corporation expects earnings before interest and taxes to be $$48,000$ for the current period. Assuming a flat ordinary tax rate of $27\%,$ compute the firm's earnings after taxes and earnings available for common stockholders $($earnings after taxes and preferred stock dividends, if any$)$ under the following conditions:

a$.$ The firm pays $$13,000$ in interest.

b$.$ The firm pays $$13,000$ in preferred stock dividends.

a$.$ Complete the fragment of Michaels Corporation's income statement below to compute the firm's earnings after taxes and earnings available for common stockholders under condition $($a$).($Round to the nearest dollar.$)$

EBIT

$

Less: Interest expense

Earnings before taxes

Less: Taxes $(27\%)$

Earnings after taxes

$

Less: Preferred dividends

Earnings available for common stockholders

$