par value Sentence Examples
- The par value represents the face amount of a bond or stock that is stated on its certificate.
- Investors often buy bonds at a price below par value, then collect interest payments until maturity when they receive the par value.
- The par value of a preferred stock typically does not fluctuate as much as the par value of a common stock.
- In case of liquidation, preferred stockholders receive par value plus any accrued dividends before common stockholders.
- The par value of a share of common stock is often arbitrary and has little bearing on the market price.
- Some companies issue no-par value stocks, which have no stated par value.
- Convertible bonds allow holders to exchange them for shares of common stock at a predetermined par value.
- The par value of a bond does not include accrued interest, which must be paid at maturity along with the par value.
- Callable bonds can be redeemed by the issuer at a price typically set at or above par value.
- The par value of a bond is not necessarily the same as its current market value, which reflects factors such as interest rates and economic conditions.
par value Meaning
Wordnet
par value (n)
the value of a security that is set by the company issuing it; unrelated to market value
Synonyms & Antonyms of par value
No Synonyms and anytonyms found
FAQs About the word par value
the value of a security that is set by the company issuing it; unrelated to market value
No synonyms found.
No antonyms found.
The par value represents the face amount of a bond or stock that is stated on its certificate.
Investors often buy bonds at a price below par value, then collect interest payments until maturity when they receive the par value.
The par value of a preferred stock typically does not fluctuate as much as the par value of a common stock.
In case of liquidation, preferred stockholders receive par value plus any accrued dividends before common stockholders.
