In the event of the firm's bankruptcy

the most shareholders can lose is their original investment in the firm's stock and the claims of preferred shareholders are honored before those of the common shareholders.

bondholders have claim to what is left from the liquidation of the firm's assets after paying the shareholders.

the claims of preferred shareholders are honored before those of the common shareholders.

common shareholders are the first in line to receive their claims on the firm's assets.

the most shareholders can lose is their original investment in the firm's stock.