Concept:The word “limited” indicates that the company is a limited liability company.
Explanation:In a limited company, the liability of its members is restricted to the amount unpaid on their shares.
If the company becomes insolvent or is wound up, members cannot be forced to sell personal assets to pay company debts.
Only the business assets and the amount already invested or promised by shareholders are used to settle creditors and investors.
This protects the private property of owners and shareholders.
It does not mean democratic management, a going concern, or management-determined profit.
Answer:B. members are liable to the extent of their shareholdings only.