Problem 1: Given the information on XYZ Corporation's financing, income before interest expense and taxes, and income tax expense rate, answer the 5 questions below: XYZ Corporation is financed as follows: 7% BONDS (Issued at face value). $6,000,000 PREFERRED $7 STOCK $50 par $2,000,000 Paid-In Capital In Excess of Par-Preferred Stock $1,500,000 COMMON STOCK, $20 par. $5,000,000 Paid-In Capital in Excess of Par - Common Stock $3,000,000 Income tax is estimated at 40% of income, and income before bond interest and income tax is $2,800,000. The company does not currently have any Treasury Stock A. Bond interest expense (not net of the tax consequences) for the year is: B. income tax for the year is: C. Total Dividends paid on Preferred Stock is: D. Earnings available to Common Stockholders: E. Earnings per share of common stock for the year is