Final answer:
Public information is disseminated to the public or specific individuals, whereas private information is kept within an organization. The terms relate to how businesses handle their internal and external communications and the stringent reporting obligations of public companies compared to private ones.
Step-by-step explanation:
The question is addressing the types of information dissemination within a firm, distinguishing between what is shared with the general public or specific outsiders, and what is solely for those within the organization. The correct answer to the fill-in-the-blank question is: Public information is made available to either large public or specific individuals, whereas private information is intended for only those internal to the organization. Public information includes data such as financial reports and press releases which are shared with investors, customers, and other external entities. In contrast, private information might consist of internal communications, trade secrets, or any confidential data that could give a competitive edge if kept within the firm.
In terms of business decisions related to issuing stock, paying dividends, or reinvesting profits, whether a firm is private or public can heavily influence these choices. Public companies are subject to strict regulations about reporting and transparency and typically have numerous shareholders, whereas private companies may have more discretion with their internal affairs and financial decisions.