Questions of 35 Questions 1 points Save A The XON Oil Corporation plans to invest S1 million in oil exploration. The corporation is considering two plans to raise the money. Under Plan #1,9% bonds would be issued at par. Under Plan 12. additional common shares would be sold at $20 per share. The corporation currently has 300,000 common shares outstanding, and total equity of $3.000.000. The corporation expects to cam $700,000 each year before bond interest and taxes. After calculating the net income under each plan (assuming a 50% tax rate), what would be the return on equity under each plan? O Plan 1:11.17% and Plan #2:11.17% Plan 01:10.17% and Plan #2: 8.75% O Plan #1:8.75% and Plan 2:10.17% Plan 11:10.17% and Plan 2: 8.00%