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Investor Garry buys shares of stock A for $20,000, while investor Michael takes a short position in stock A for $20,000. The price of stock

Investor Garry buys shares of stock A for $20,000, while investor Michael takes a short position in stock A for $20,000. The price of stock A may go down to zero or increase with no limit in the future. For whom of the two investors the maximal loss is bigger?

a.

Michael

b.

Garry

c.

The maximal loss is the same for Michael and Garry

d.

cannot be determined

e.

None of the above

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