Final answer:
A corporation is the business type owned by shareholders and legally established. It can either go public by selling shares or remain private. Shareholders exercise control through a board of directors as part of corporate governance. The correct option is b.
Step-by-step explanation:
Among the business types listed, a corporation is the one that is owned by shareholders and is formed under legal guidelines. A corporation is a formal legal entity that is distinct from a sole proprietorship or a partnership. It entails a company asking permission from national and state governments to incorporate, which enables it to become public by selling shares to raise revenues. However, a corporation can also choose to remain private, without publicly issued stock. Shareholders own a corporation and elect a board of directors to oversee the company's management. This process is part of what is known as corporate governance.
A corporation is the type of business that is owned by shareholders and formed under legal guidelines. Unlike a sole proprietorship or a partnership, a corporation is a very formal and legal arrangement that requires permission from national and state governments to incorporate. Once incorporated, a corporation can become public by selling shares of the company to raise revenue and expand.