Final answer:
The primary difference between a privately held corporation and a public corporation is that shares of public corporations are traded on stock exchanges, allowing them to raise capital by issuing stock to the public. Privately held corporations do not have their shares traded on stock exchanges, but they may issue stock on a limited basis to a small number of investors.
Step-by-step explanation:
A primary difference between a privately held corporation and a public corporation is that shares of public corporations are traded on stock exchanges, while shares of privately held corporations are not. This means that the public corporation can raise capital by issuing shares of stock to the public, while a privately held corporation cannot. Another difference is that public corporations may issue stock to raise funds for expansion or other purposes, while privately held corporations may also issue stock but typically do so on a limited basis, often to a small number of investors.
Learn more about Difference between privately held and public corporations