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Required information (The following information applies to the questions displayed below.) Penny Arcades, Inc., is trying to decide between the following two alternatives to finance

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Required information (The following information applies to the questions displayed below.) Penny Arcades, Inc., is trying to decide between the following two alternatives to finance its new $30 million gaming center: a. Issue $30 million of 5% bonds at face amount. b. Issue 1 million shares of common stock for $30 per share. 2. Which alternative results in the highest earnings per share? Multiple Choice Issue bonds O Issue stock

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