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XYour answer is incorrect. Try again. Sheffield Corp. is considering two alternatives to finance its construction of a new $1 million plant. (a) Issuance of
XYour answer is incorrect. Try again. Sheffield Corp. is considering two alternatives to finance its construction of a new $1 million plant. (a) Issuance of 100,000 shares of common stock at the market price of $10 per share. (b) Issuance of $1 million, 790 bonds at face value. Complete the following table. (Round earnings per share to 2 decimal places, e.g. 0.25.) Issue Stock Issue Bond Income before interest and taxes $615,000 $615,000 Interest expense from bonds Income before income taxes Income tax expense (40%) Net income Outstanding shares 515,000 Earnings per share
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