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Suppose an individual invests $50,000 in equity ownership of a public corporation. A year later, the corporation files for bankruptcy, owing hundreds of thousands of dollars to debtholders. What is the maximum loss this individual will take on the investment?
Group of answer choices
$50,000 plus a portion of the unpaid debt.
$0.
A percentage of the unpaid debt depending on the percentage of equity ownership.
$50,000.
N
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