Which of the following statements is false? A)The common stock account has a credit balance. B)The additional paid-in capital account has a credit balance. C)Common stock may be issued for more than par value. D)The par value of common stock represents the stock's market value.

Question

Quizplus · Accepted Answer

The par value of common stock does not necessarily represent the stock's market value. The par value is typically a nominal amount set by the company for legal purposes and has no direct correlation to the stock's market value.

Which of the Following Statements Is false