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?Par value? or ?face value? is the lowest price for which a company can sell stock. ?Fair Market Value? is the notional value of stock on the market at the time of sale. A reasonable par value for an early stage company can be as low as $0.00001. Setting a par value low can avoid tax liabilities later.
The company's par value is calculated by multiplying the par value per share by the total number of shares issued. That means you'll just need to grab your calculator and key in the math.
The par value is the minimum price at which a corporation can legally sell its shares, and most are priced below $0.01. As a real-life example, Apple (NASDAQ: AAPL) has set its common stock's par value at $0.00001 per share.
A bond's par value is the face value of the bond plus coupon payments, annually or sem-annually, owed to the bondholders by the issuer of the debt. A bond with a par value of $1,000 and a coupon rate of 4% will have annual interest payments of 4% x $1,000 = $40.
For example, if company XYZ issues 1,000 shares of stock with a par value of $50, then the minimum amount of equity that should be generated by the sale of those shares is $50,000.