A newly established company cannot issue shares at ……

Name: A newly established company cannot issue shares at ……
Brand: Quizplus
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Question

Quizplus · Accepted Answer

A newly established company cannot issue shares at a discount because the shares must first be issued at their nominal value (par) or at a premium. Issuing at a discount is generally not allowed for new companies as it would mean selling the shares for less than their nominal value, which could undermine the financial stability and valuation of the company.

A Newly Established Company Cannot Issue Shares at ……