Which of the following is a disadvantage of using debt financing compared to equity financing? Shareholder control is not affected Income tax savings result Earnings per share and return on equity may be higher The interest on the debt must be paid PAC Strategic Inc. has a total of 50,000 common shares issued and outstanding with a balance in its Common Shares account of $150,000. On February 8, PAC reacquired 5,000 of its common shares at a market price of $4.25 per share. To record this reacquisition PAC would debit the Common Shares account for $21,250 $20.000 $18.250 $15,000