The par value of common stock must always be equal to its market value on the date the stock is issued.

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Cruzr De La Cruz · Accepted Answer

Final Answer : False, Explanation :  The par value of common stock is a nominal value per share that is established by the company and recorded in its corporate charter. It does not necessarily have any relation to the market value of the stock. In fact, in most cases, the market value of a company's common stock will be higher than its par value at the time of issuance.

The par value of common stock must always be equal to its market value on the date the stock is issued.

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