****please help in this hw and show every calculation Early in the 2020, Baladna Co.prepared an expansion plan. The plan requires an increase in in both property, plant and equipment and inventory by $190,000,000 and $10,000,000 respectively. The following three alternative financing plans have been suggested by the firms investment bankers: Plan I: issue preferred stock at par. Plan II: issue common stock at $10 per share. Plan III: issue a 16% long-term bonds, due in 20 years, at par ($1,000). For the year ended December 31, 2019, Baladna Co. presented the following financial statements:

Required

1. For the year ended December 31, 2019, compute:

1. Times interest earned

2. Debt ratio

3. Debt/equity ratio

2. For the year ended December 31, 2020, compute the same ratios as in (a) under each financing plan (assuming the same statement balances, except for the increased assets and financing; do not adjust retained earnings for the 2020 profits).

Plan A:

1. Times interest earned
2. Debt ratio
3. Debt/equity ratio

Plan B

1. Times interest earned
2. Debt ratio
3. Debt/equity ratio

Plan C:

1. Times interest earned
2. Debt ratio
3. Debt/equity ratio

C.Changes resulting from the three alternative plans give the following earnings per share (EPS): Plan A0.73, Plan B0.69, and Plan C0.73. Based on this information, what are the main advantages and disadvantages of each plan?

*****PLEASE SHOW YOUR CALCULATIONS SPCAILLY IN PART B AND C

PLEASE WRITE THE FORMULA AND SHOW DETAILTED CALCULATION FOR EACH PART

BALADNA CO. Balance Sheet as of December 31, 2019(in thousands) Assets Current assets: Cash $ 50,000 Accounts receivable 60,000 Inventory 106,000 Total current assets $216,000 Property, plant, and equipment $504,000 Less: Accumulated depreciation 140,000 364,000 Patents and other intangible assets20,000 Total assets $600,000 Liabilities and Stockholders' Equity Current liabilities: Accounts payable $ 46,000 Taxes payable 15,000 Other current liabilities 32,000 Total current liabilities $ 93,000 Long-term debt 100,000 Stockholders' equity: Preferred stock ($100 par, 10% cumulative, 500,000 shares authorized and issued) 50,000 Common stock (S1 par, 200,000,000 shares authorized, 100,000,000 issued) 100,000 Premium on common stock 120,000 Retained earnings 137,000 Total liabilities and stockholders' equity $600,000 Income Statement For the Year Ended December 31, 2019 (in thousands except earnings per share) Sales $936,000 Cost of sales 671,000 Gross profit $265,000 Operating expenses: Selling $62,000 General 41,000103,000 Operating income $162,000 Other items: Interest expense 20,000 Earnings before provision for income tax $142,000 Provision for income tax 56,800 Net income $ 85,200 Earnings per share $ 0.83