The set of bounded elements of a unital l.m.c. algebra is characterised as the union of certain naturally defined normed subalgebras, and an analogous characterisation is given for algebras of quotient-bounded operators on a locally convex space. Pseudocomplete l.m.c. algebras are characterised in terms of the completeness of these subalgebras, and the equivalence of this condition with the pseudocompleteness of the quotient-bounded operator algebras established. The scalar multiples of the identity in a unital l.m.c. algebra are characterised in terms of certain boundedness conditions.