Final answer:
A publicly traded company is a business owned by stakeholders through publicly traded stock. Shareholders have limited liability for the company's debt and share in its profits and losses. They elect a board of directors and raise funds by selling shares of stock to the public.
Step-by-step explanation:
A business owned by stakeholders through publicly traded stock is called a publicly traded company. In a publicly traded company, the ownership is distributed among the shareholders who buy and sell the company's stock on the stock market. These shareholders have limited liability for the company's debt and share in its profits and losses.
Publicly traded companies raise funds by selling shares of stock to the public, allowing them to finance their operations or new investments. The shareholders elect a board of directors who hire top executives to manage the company on a day-to-day basis. The more shares a shareholder owns, the more voting power they have in selecting the board of directors.