Question

When a company does not have any convertible securities or options or warrants outstanding, the company has:
A. to report both basic and diluted EPS.
B. to report only diluted earnings per share.
C.a simple capital structure.
D. a complex capital structure.

Answer 1

Answer: Simple capital structure

Explanation: A company that does not have potentially dilutive or convertible securities in its capital structure, is said to have a simple capital structure. In a simple capital structure, the corporation finance its operation with common stock or non convertible preferred stock.

Hence , from the above we can conclude the right option is C.