Asked by
Frank Perez
on Nov 14, 2024
Verified
Each of the following is reported for common stock except the
A) par value.
B) shares issued.
C) shares outstanding.
D) liquidation value.
Liquidation Value
Liquidation value is the estimated amount of money that an asset or business would fetch if it were to be sold or liquidated immediately, often used in bankruptcy proceedings.
Par Value
The nominal or face value of a stock or bond, set at the time of issue, and often used as an accounting value rather than a measure of market value.
Shares Outstanding
The total number of shares of stock that are currently owned by investors, including restricted shares owned by the company’s officers and insiders.
- Differentiate between the market value and alternative valuation metrics (such as par value and stated value) for various categories of equity as presented in the balance sheet.
Verified Answer
AD
Learning Objectives
- Differentiate between the market value and alternative valuation metrics (such as par value and stated value) for various categories of equity as presented in the balance sheet.