Suppose you own $15,000 of personal property, $5,000 of stock in ABC Corporation, a $1,000 certificate of deposit, and $10,000 of government bonds. If ABC goes bankrupt, the most you could lose is

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In the event of ABC Corporation going bankrupt, the maximum financial loss you would incur is the total value of your investment in the company, which is $5,000. Your other assets (personal property, certificate of deposit, and government bonds) are not directly affected by the bankruptcy of ABC Corporation.

Suppose You Own $15,000 of Personal Property, $5,000 of Stock