ogress Carla Vista Inc. is considering two alternatives to finance its construction of a new $1.40 million plant. (a) Issuance of 140,000 shares of common stock at the market price of $10 per share. Issuance of $1,400,000, 7% bonds at face value. (b) Complete the following table. (Round earnings per share to 2 decimal places, e.g. 0.25.) Issue Stock Issue Bond Income before interest and taxes $600,000 $600,000 Interest expense from bonds Income before income taxes Income tax expense (40%) Net income $ Income before income taxes Income tax expense (40%) Net income $ VA Outstanding shares 460,000 Earnings per share $ Indicate which alternative is preferable. Net income is if stock is used. However, earnings per share is because of the additional shares of stock that are outstanding than earnings per share il bonds are used