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The basic meaning of par stock is the amount of stock a business or individual should keep on hand at all times. If your stock amount falls below this par, you should purchase more to keep it at that number.
Wiki User
∙ 9y ago
Wiki User
∙ 11y agoPar stock mean, the minimum qouantiy that control the inventory, avoid spoilage and keep the operation smooth.
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Definition of par stock?
Par is the value stated on the stock certificate as stated in the articles of incorporation and is many times $.01 or $1.00.
What is a stock's par value?
A stock's par value is the monetary amount assigned to the share of stock.
What is the journal entry for a stock issue?
Issuing Par Value Common Stock for Cash (assume par value is $1) dr. Cash $1.00 cr. Common Stock $1.00 to record issuance of 1 share of $1 par common stock if sold for more than par value (Assuming $5) dr. Cash $5 cr. Common Stock $1 Paid-in Capital in excess of par $4 to record issuance of 1 share of common stock in excess of par.
In hospitality what is par stock?
concept of per stock in hotel industry
What is Accounting definition of equity?
Equity = Assets -Liabilities Equity is also referred to as the first loss when earnings are depleted. Equity = Common Stock (at Par) + Paid in capital + Pref. Stock + R/E (NI)
What is par level stock?
average level
How do you maintain par stock level in store?
all stock maintain in store
What is par stock in hotel linen room?
5
Definition of Performance not on par?
The definition of performance not on par, means that the person being evaluated is not working to the expected standards. This term is often used on job evaluations.
Capital stock to which the charter has assigned a value per share is called?
Par value stock
What is par 3 of stock in housekeeping linen room?
H
What is water sharing?
Shares of stock that are issued at a value in excess of a company's actual assets are known as watered stock. The term arose many decades ago when a par value was assigned to shares of stock by the board of directors. The par value was correlated by many investors to the actual asset value per share of a company since companies could not sell additional stock below the stated or par value. Dishonest stock promoters would deceptively assign a high par value in order to sell overvalued or watered shares to investors. Due to investor confusion and misuse by shady stock issuers legislation was passed to allow stock to be issued at no par value. Once used as a metric of stock valuation, the term par value has little meaning for present day investors.
