The limit for maximum number of members in a public company is restricted to _________. A. 2000 B. 5000 C. 10000 D. no limit

The correct answer is: D. no limit

A public company is a company that offers its shares to the public for purchase. This means that anyone can buy shares in the company, and the company can have an unlimited number of shareholders.

Private

companies, on the other hand, are limited to a maximum of 200 shareholders. This is because private companies are not required to file financial statements with the government, and the government wants to ensure that there is some oversight of these companies.

Public companies are required to file financial statements with the government, so there is less need for a limit on the number of shareholders. Additionally, public companies are subject to more regulation than private companies, which helps to protect investors.

Here is a brief explanation of each option:

• Option A: 2000. This is the maximum number of shareholders allowed in a private company.
• Option B: 5000. This is not the maximum number of shareholders allowed in a public company.
• Option C: 10000. This is not the maximum number of shareholders allowed in a public company.
• Option D: no limit. This is the correct answer.