The "preceding points" are shown BELOW

d. With the preceding points in mind, now consider the optimal capital structure for SDSS. (1) To begin, define the term optimal capital structure (2) Describe briefly, without using numbers, the sequence of events that would occur if SDSS decided to change its capital structure to include more debt. Assume that shares could be repurchased at the current market price of $20 per share. Calculate SDSS's expected EPS and TIE at debt levels of $0, $250,000, $500,000, $750,000, and $1,000,000. How many shares would remain after recapitalization under each scenario? EPS = (Net income outstanding shares] (3) (4) What would be the new stock price if SDSS recapitalizes with $250,000 of debt? $500,000 (5) (6) (7) $750,000? $1,000,000? Recall that the SDSS pays out all earnings as dividends, sog 0 Considering only the levels of debt discussed, what is SDSS's optimal capital structure? Is EPS maximized at the debt level that maximizes share price? Why? What is the WACC at the optimal capital structure