Patience Phillips Corporation is considering two alternatives for the financing of some new high technology equipment. These two alternatives are: 1. Issue 50,000 shares of $10 par value common stock at $50 per share. 2. Issue $2, 500,000, 10%, 10-year bonds at par. It is estimated that the company will earn $900,000 before interest and taxes as a result of acquiring the equipment. The company has an estimated tax rate of 30% and has 100,000 shares of common stock outstanding prior to the new financing. Determine the effect on net income AND earnings per share for these two methods of financing