Question: somone please help me. ive done it multiple ways and still dont know where i went wrong Effect of Financing on Earnings Per Share Three

Effect of Financing on Earnings Per Share Three different plans for financing an $8,100,000 corporation are under consideration by its organizers. Under each of the following plans, the securities will be issued at their par or face amount, and the income tax rate is estimated at 40% of income: Plan 1 Plan 2 Plan 3 $4,050,000 2,025,000 10% Bonds Preferred 10% stock, $40 par Common stock, $8.1 par Total $4,050,000 4,050,000 $8,100,000 2.025.000 $ 8,100,000 $ 8,100,000 $ 8,100,000 Required: 1. Determine the earnings per share of common stock for each plan, assuming that the income before bond Interest and income tax is $16,200,000. Enter answers in dollars and cents, rounding to two decimal places Earnings Per Share on Common Stock Plan 1 1.50 2.00 Plan 2 Plan 3 2. Determine the earnings per share of common stock for each plan, assuming that the income before bond Interest and income tax is 57.695.000. Enter answers in dollars and cents, rounding to two decimal places Earnings Per Share on Common Stock plan! $ 0.90 X Plan 1 1.50 x Plan 2 2.00 X Plan 3 2.14 2. Determine the earnings per share of common stock for each plan, assuming that the income before bond interest and income tax is $7,695,000. Enter answers in dollars and cents, rounding to two decimal places, Earnings Per Share on Common Stock Plan 1 0.90 Plan 2 0.00 Plan 3 0.40 3. The principal advantage of Plan 1 is that it involves only the issuance of common stock, which does not require a periodic interest payment or return of principal, and a payment of preferred dividends is not required. Oy s per shares often contiered on Set up a column for each plan. Remember to take interest income tax and dividends into consideration Consider the impact on shareholders with each plan in deciding among tinancing the tecton a obligations the firm must pay even during periods of earnings declines what
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