The common shares of Diaz Corporation Inc. have a par value of $1.00 and a market value of $15.00.

Explain why these price values are different. Justify your answer and present example(s) of large corporations well known in the world.

 
Why is a stock generally not issued by a Corporation at a price that is less than its par value?  

 
Identify events that may result in debits and credits to the Retained Earnings account.

 
Why should preferred stock dividends be subtracted from net income to calculate earnings per share (EPS)?

Answer rating: 100% (QA)

The difference between the par value and market value of common shares The par value of a stock represents its nominal or face value which is typically set at a low value such as 100 to comply with le... View the full answer