Final answer:
A piece of ownership in a company like McDonald's, IBM, Walmart, or Microsoft is called a share of stock. Purchasing a share means you become a part-owner, known as a shareholder, of that company.
Step-by-step explanation:
A piece of ownership in a company like McDonald's, IBM, Walmart, or Microsoft is called a share of stock. When you purchase stock in these companies, you become one of the shareholders, meaning you now own a portion of the company, albeit usually a very small one. Companies like these are comprised of millions of shares, and while no single individual typically holds a majority of these shares, having even a few grants you a slice of the ownership pie.It's important to note that when you buy shares of stock, you are buying them from the current shareholder, not directly from the company itself. After the initial public offering (IPO), the company does not benefit financially from transactions between shareholders. For example, if you were to buy shares of General Electric, you would be purchasing them from an existing shareholder, and General Electric would not receive any of your money from this transaction.