Wonder Diaper is considering two possible capital structures, A and B: Long term debt Preferred stock Common stock $75,000 at 16% $10,000 at 18% 8,000 shares at $20 Structure B $50,000 at 15% $15,000 at 18% 10,000 shares at $20 Their expected EBIT is 30,000. a. Calculate the financial breakeven point, and the earnings per share for each structure Assume a 40% tax rate on ordinary income. b. Graph the two capital structures on the same set of EBIT- EPS axes of financial leverage with each structure. the degree c. Compute what Financial Leverage is explain d. Carefully