A stock's par value is the:
A) maturity value of the stock.
B) price at which each share is recorded.
C) price at which an investor could sell the stock.
D) price received by the firm when the stock was issued.

Question

Quizplus · Accepted Answer

Par value refers to the price at which each share is recorded on the balance sheet of the issuing company. It is often a nominal value that does not reflect the current market value of the stock. It is not necessarily the price at which an investor can buy or sell the stock, nor is it the price received by the firm when the stock was issued.

A Stock's Par Value Is The