Which of the Following Statements About the Par Value of Common

question 272

Multiple Choice

Which of the following statements about the par value of common stock is not correct?

• A)The par value is not the same as the market value of the stock.
• B)The par value is a nominal amount identified in the corporate charter.
• C)The par value is the amount credited to the common stock account when the stock is issued.
• D)The par value is the amount credited to common stock when treasury stock is reissued.

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Definitions:

Carbon Monoxide

A colorless, odorless, and toxic gas produced by incomplete combustion of carbon-containing materials, capable of binding with hemoglobin and reducing blood's oxygen-carrying capacity.

Water Vapor

The gaseous phase of water, present in the atmosphere and an important part of the Earth's water cycle and weather.

Carbon Dioxide

A colorless, odorless gas produced by burning carbon and organic compounds and by respiration. It is naturally present in air and is absorbed by plants in photosynthesis.

Simple Organic Molecules

Basic compounds containing carbon that are the building blocks of more complex organic molecules.