Question

Brandy and Ken have been colleagues for many years. Brandy invested $10,000 in their joint business, and Ken invested $15,000. Their firm, BK, develops software. BK has $25,000 in debt. One day, Ken decided to take all of BK’s cash, software, and other assets. He was last seen boarding a plane on a one-way ticket for Argentina. If BK were now to go bankrupt, what would happen to Brandy (in terms of her equity and debt) had their firm been structured as:

a.a corporation;

b.an LLC;

a general partnership;