Answer by reading the case provided in attachment: a)what advantages and disadvantage do bond offers a company such as Casa de Carlos? b) any other option available to Maria Galendez? c) what choices would you make and why?

Making Dreams Come True Carlos Galendez had big dreams but very little money. He worked more than 10 years washing dishes and then as a cook for two major restaurants, all the while saving enough money to start his own Mexican restau- rant. Finally, his dream came true. Galendez opened his restaurant, Casa de Carlos, with a guaranteed loan. His old family recipes and appealing Hispanic decor helped the business gain immediate success. He repaid his small-business loan within 14 months and immedi- ately opened a second location, and then a third. Casa de Carlos became one of the largest Mexican restaurant chains in the area. Galendez decided that the company needed to go public to help finance expansion. He believed that con- tinued growth was beneficial to the company, and that offering ownership was the way to bring in loyal inves- tors. Nevertheless, he wanted to make certain that his family maintained a controlling interest in the firm's stock. Therefore, in its IPO, Casa de Carlos offered to sell only 40 percent of the company's available shares to investors. The Galendez family kept control of the remaining 60 percent. As the public's craving for Mexican food grew, so did the fortunes of Casa de Carlos. By early 2007, the company enjoyed the enviable position of being light on debt and heavy on cash. But the firm's debt position changed dramatically when it bought out Cap- tain Ahab's Seafood Restaurants. Two years later, it expanded into the full-service wholesale distribution of seafood products with the purchase of Ancient Mariner Wholesalers. The firm's debt increased, but the price of its stock was up and all of its business operations were boom- ing. Then tragedy struck the firm when Carlos Galen- dez died suddenly from a heart attack. His oldest child , Maria, was selected to take control as CEO. Maria Gal- endez had learned the business from her father, who had taught her to keep an eye out for opportunities that seemed fiscally responsible. Even so, the fortunes of the firm began to shift. Two major competitors were taking market share from Casa de Carlos, and the sea- food venture began to flounder (pun intended). Also, consumer shifts in eating habits and the recession encouraged consumers to spend less, causing the com- pany some severe cash flow problems. It was up to Maria Galendez as CEO to decide how to get the funds the firm needed for improvements and other expenses. Unfortunately, several local banks would not expand the firm's credit line, so she considered the possibil- ity of a bond or stock offering to raise capital for the business. Her decision could be crucial to the future of the firm