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Question 5 Larkspur, Inc.currently has 830,000 shares of common stock outstanding Larkspur, Inc. is considering these two alternatives to finance its construction of a new$
Question 5 Larkspur, Inc.currently has 830,000 shares of common stock outstanding Larkspur, Inc. is considering these two alternatives to finance its construction of a new$ 2.25 milion plant: 1 Issuance of 225,000shares of common stock at the market price of $ 10 per share. 2. issuance of $225 million,5% bondsatface value. Complete the table. (Round earnings per share to 2decimal places, eg. $2.66) Issue Stock Issue Bonds 1.730000 Income before interest and taxes Interest expense from bonds Income before income taxes Income tax expense( 30% Net income $1,730,000 Outstanding shares 830,000 Earnings per share eTextbook and Mcdia Attempts: 0 of 2used Check
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