Concept:A public liability company is legally allowed to admit any number of shareholders because its shares are open to the general public.
Explanation:A company is regarded as public when it invites the public to subscribe to its shares.
Under the Companies Act, the minimum number of members required to form a public company is
7.
However, the Act places no maximum limit on the number of shareholders for a public liability company.
This is because public companies raise capital from a large pool of investors, so restricting the number would defeat their purpose.
In contrast, private companies are limited to a maximum of
50 members, excluding employees.
Since no legal ceiling applies, the maximum number of shareholders in a public liability company is unlimited.
Answer:B. Unlimited