Penny Arcades, Inc., is trying to decide between the following two alternatives to finance its new $26 million gaming center: f2 a. Issue $26 million, 7% note. b. Issue 1 million shares of common stock for $26 per share. ok Required: 1. Assuming the note or shares of stock are issued at the beginning of the year, complete the income statement for each alternative. (Enter your answers in dollars, not millions. (l.e., $5.5 million should be entered as 5,500,000). Round your "Earnings per Share" to 2 decimal places.) t t hces Issue Note Issue Stos $ 10,100,000 $ 10,100,000 Operating income Interest expense (note only) Income before tax Income tax expense (35%) Net income Number of shares Earnings per share (Net income /# of shares) $ 0 $ 3,100,000 4,100,000