The par value of a share is:
A) An arbitrary value a corporation places on each of the corporation's shares.
B) Another name for the call price of a share.
C) An unpaid dividend.
D) The market value of the shares on the date of issuance.
E) A type of callable share.

Question

Quizplus · Accepted Answer

Par value is an arbitrary value assigned to a share by the corporation, often used for accounting purposes. It is not related to market value, dividends, or callable features.

The Par Value of a Share Is