A common stock's par value is always equal to the market value of the stock on the last day of the fiscal year in which the stock is issued.

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Quizplus · Accepted Answer

The par value of a common stock is a nominal value assigned to the stock by the company at the time of issuance. It is not necessarily equal to the market value of the stock and is typically set at a low amount, such as $0.01 per share. The market value of the stock can fluctuate throughout the fiscal year and is determined by supply and demand in the stock market.

A Common Stock's Par Value Is Always Equal to the Market