Which of the following statements is true about limited liability?
a. It is any type of investment where the investor’s maximum possible loss is the amount invested.
b. It is full liability for the debt and other obligations of a legal entity.
c. It is an undesirable situation where, if the debts of the business exceed its ability to pay, creditors may reach the personal assets of the business owners.
d. With limited liability, all it takes is one successful personal injury lawsuit, not covered by insurance, to destroy years of hard work by an individual business owner.
e. It is the liability of the owner of a business for all the obligations of the business.