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When shares are sold 'at par' it means they are issued at

Accounts - Principles of Accounts
WAEC 2010

When shares are sold 'at par' it means they are issued at

  • A. the market value
  • B. the nominal value
  • C. a discount
  • D. a premium
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Correct Answer: Option B
Explanation

When shares are issued at a price equal to their face value it is termed as shares issued at par. Par value is also known as nominal value or face value.


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Post-UTME Past Questions - Original materials are available here - Download PDF for your school of choice + 1 year SMS alerts