Swifty Corporation is considering two alternatives to finance its construction of a new $2 million plant. (a) Issuance of 200,000 shares of common stock at the market price of $10 per share. (b) issuance of $2 million, 8% bonds at face value. Complete the following table. (Round earnings per share to 2 decimal places, eg.0.25.) Issue Stock Issue Bond $780,000 $780,000 Income before interest and taxes Interest expense from bonds 160000 Income before income taxes 780000 620000 Income tax expense (40%) 312000 248000 Net income 372000 580,000 Outstanding shares 780000 Earnings per share Indicate which alternative is preferable. Net income is l higher # | if stock is used. However, earnings per share is lower # | than earnings per share if bonds are used because of the additional shares of stock that are outstanding. Presented ere aeliability items for Metlock, Inc. at December 31,2020. Accounts payable 188,400 FICA taxes payable $9,360 Notes payable (due May 1,2020) 24,000 Interest payable 48,000 Bonds payable (due 2024) 1080,000 Notes payable (due 2022) 96,000 288,000 Income taxes payable Unearned rent revenue 4,200 Discount on bonds payable 49,200 Sales taxes payable 2,040 Prepare the liabilities section of Metlock's balance sheet. METLOCK, INC. Balance Sheet (Partial) December 31, 2020 Current Liabilities Accounts Payable Notes Payable Interest Payable Unearned Rent Revenue Income Tax Payable Sales Taxes Payable FICA Taxes Payable Total Current Liabilities Long-term Liabilities Bonds Payable ess Total Long-term Liabilities