If a share costs 95 pence to buy, then that is its par value.
Par value stock
There is no correlation between PAR and MARKET PRICE . Par value was the assigned value of a share when the company was set up. There can be par value shares and no par value shares. After the first second, the value of that share has changed from the time it was identified as a share or issued as an outstanding share.
If a share costs 95 pence to buy, then that is its par value.
A stock's par value is the monetary amount assigned to the share of stock.
Face value of share is the amount mentioned at face of share which is the basic value at which share is normally issued if issued at par value.
the minimum selling price of the stock established by the articles of incorporation
Issue of shares at par - Shares are said to be issued at par when they are issued at a price equal to the face value. For example if the face value of a share is $100 and issue price is also $100 than the share will be said as thae share has been issued at par.
Share discount refers to the amount by which a given market value of a share drops below its par value.
Issue of shares at par - Shares are said to be issued at par when they are issued at a price equal to the face value. For example if the face value of a share is $100 and issue price is also $100 than the share will be said as thae share has been issued at par.
It is Par Value of share issued
debit treasury stock 200000debit premium 40000credit cash 240000
[(# of shares authorized X par value) + additional paid in capital] / # of shares issued