The par value of common stock must always be equal to its market value on the date the stock is issued.

Name: The par value of common stock must always be equal to its market value on the date the stock is issued.
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Quizplus · Accepted Answer

The par value is a nominal value assigned to each share of stock when it is issued and has no relation to the market value of the stock. The market value is determined by supply and demand forces in the stock market and can fluctuate constantly.

The Par Value of Common Stock Must Always Be Equal