Final answer:
A proxy is a public instrument giving authority to vote for a stockholder. It allows stockholders to exercise their voting rights even if they cannot physically be present at the meeting.
Step-by-step explanation:
A proxy is a public instrument giving authority to vote for a stockholder. In the context of a public company, when shareholders are unable to attend a meeting, they can appoint another person to vote on their behalf, and this is known as a proxy. This allows stockholders to exercise their voting rights even if they cannot physically be present at the meeting.