Which of the Following Is True of Par Value of a Common

question 36

Multiple Choice

Which of the following is true of par value of a common stock?

• A) It is determined on the basis of the stock's market value.
• B) It is an arbitrary value established for legal purposes in a firm's corporate charter.
• C) It indicates the market value at which the stock was originally sold.
• D) It allows stockholders to purchase additional shares at a price below the market price.

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Definitions:

Union Organizers

Individuals or members of a union who work to organize workers for the purpose of representation and collective bargaining.

Union Certification

The official recognition of a labor union as the bargaining agent for a group of employees, following a legal or formal approval process.

Labour Relations Board

is a government agency responsible for regulating labor relations, including the certification of unions, oversight of collective bargaining, and adjudication of labor disputes.