Final answer:
A public corporation delivers value to its shareholders through the appreciation of its stock value and dividends, influenced by the company's performance. Shareholders vote for a board of directors to oversee the company's management and can assess value through various financial indicators.
Step-by-step explanation:
To measure how a public corporation has delivered value for its shareholders, we must consider several factors. A firm only receives money from the sale of its stock during an initial public offering (IPO) or subsequent offerings. This capital is used for business expansion and to repay early investors such as venture capital firms. After becoming public, the company's shareholders, ranging from individuals to large institutional investors, vote for a board of directors. This board hires executives to manage the company, and shareholders' influence is proportional to the number of shares they own.
The rate of return on stock is not guaranteed but is influenced by the company's performance and perceived future potential. Shareholders usually gain from stock appreciation and dividends. The value delivered to shareholders can also be assessed through financial indicators like the stock price, dividend yields, and the company's growth metrics.