Limited liability for a company applies to the:Question 6Select one:a.managers.b.board of directors collectively.c.individual directors.d.shareholders.

Breaking Down the Problem

To determine who limited liability applies to in a company structure, let's analyze the options provided in the question.

Relevant Concepts

Limited liability is a legal structure that protects an individual's personal assets from being used to satisfy a company's debts. In the context of a corporation, this concept is typically associated with shareholders.

Analysis and Detail

1. a. Managers: Limited liability does not generally protect managers personally unless they are also shareholders.

2. b. Board of Directors collectively: The board may have some liability protection through the corporation, but it is not the primary entity that enjoys limited liability.

3. c. Individual Directors: Similar to managers, individual directors have some protection but it can be bypassed in cases of misconduct or negligence.

4. d. Shareholders: Limited liability primarily applies to shareholders, meaning they can only lose their investment in the company and are not personally liable for the business's debts.

Verify and Summarize

Among the options, the shareholders are the ones who benefit the most from limited liability protections, shielding their personal assets from the company's liabilities.

Final Answer

d. shareholders.