Correct Answer: The contract is valid and the bank will not loan him money.
Explanation:
From first two statements we can conclude: 'if the contract is valid then X would be bankrupt.' Statement 3 is 'If he goes bankrupt, then the bank will not loan him the money.' From above two statements, we have: If the contract is valid, then the bank will not loan him the money. This is reflected in option B.
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