JM Electronics is considering two plans for raising $4,000,000 to expand operations. Plan A is to issue 5% bonds payable, and plan B is to issue 500,000 shares of common stock. Before any new financing, JM Electronics has net income of $300,000 and 100,000 shares of common stock outstanding. Management believes the company can use the new funds to earn additional income of $600,000 before interest and taxes. The income tax rate is 40%. Analyze the JM Electronics situation to determine which plan will result in higher earnings per share. (Complete all answer boxes. Enter "0" for any zero balances. Round earnings per share amounts to the nearest cent.) Begin by completing the analysis below for plan A, then plan B. Plan A: Issue $4,000,000 of 5% Bonds Payable Net income before new project Expected income on the new project before interest and income tax expenses Less: Interest expense Project income before income tax I ess: Income tax expense Enter any number in the edit fields and then click Check