A feature common to public and private limited liability companies is that
A. both can sue and be sued B. the minimum number of their shareholders is five C. the transfer of their shares is not restricted D. their annual accounts are published for public use
Correct Answer: A
Explanation
[b]Common Features of Private and Public Limited Companies[/b]
Both types of companies are registered with the words “Ltd†/ “Sdn Bhd†under the Companies Act. The shareholders and the company are separate entities, they can sue and be sued All shareholders have limited liability. A board of directors is elected by the shareholders. ... Salaries managers are employed to manage the business.
