Suppose that a company's equity is currently selling for $43.25 per share and that there are 2.3 million shares outstanding and 33 thousand bonds outstanding, which are selling at 113.50 percent of par. If the firm was considering an active change to their capital structure so that the firm would have a D/E of 1.8, which type of security (stocks or bonds) would they need to sell to accomplish this, and how much would they have to sell? (Round your intermediate ratio to 4 decimal places.)

Multiple Choice:

$13,835,877 in new equity

$50,581,942 in new debt

$50,581,942 in new equity

$36,746,065 in new debt