For accounting purposes,par value stock is treated the same as stated value stock except for the account names.

Name: For accounting purposes,par value stock is treated the same as stated value stock except for the account names.
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Question

Quizplus · Accepted Answer

Both par value and stated value stock represent a minimum value that the shares must be sold for, and are recorded in the same way in accounting. The only difference is the account names used to represent each type of stock.

For Accounting Purposes,par Value Stock Is Treated the Same as Stated