At the end of the year, the records of Richardson Corp. included the following.

Common stock, no$-$par, authorized $400,000$ shares:

Outstanding January $1,250,000$ shares. $.....................................$ $$1,650,000$

Treasury shares acquired June $1,1,000$ shares $($at cost$)..$

Stock dividend issued, November $1,24,900$ shares $,$ one additional share for each

$10$ shares outstanding$).$

Preferred stock, $4\%,$ $$20$ par, noncumulative, nonconvertible, authorized, issued, and outstanding throughout the year, $10,000$ shares.

Paid$-$in capital in excess of par, preferred stock $.$

Retained earnings $($no cash or property dividends declared during the year$)$

$(15,000)$

Bonds payable, Series A$,7\%,$ each $$1,000$ bond is convertible to $20$ shares of common stock after stock dividend $($bonds issued at par three years prior$).$

Bonds payable, Series $B,6\%,$ each $$1,000$ bond is convertible to $57$ shares of common stock after stock dividend $($bonds issued at par two years prior$)$

$398,000$

Net income...

$200,000$

$75,000$

$942,000$

Income tax rate, $25\%.$

Required

a$.$ Is this a simple or a complex capital structure?

b$.$ Prepare the EPS presentation.