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Common?stock is called common stock when all classes have same rights and privileges. stock. 5. Par value stock?assigned a value per share by the corporation in its charter.
Can Shares Be Issued Below Par Value? Shares can be issued below par value, though doing so would be unfavorable for the issuing company. The company would have a per-share liability to shareholders for the difference between the par value of the stock and the issuance price.
Typically, you can't just make an amendment saying you now have a new par value. Instead, the most common way that corporations change their par value is with a stock split (or reverse stock split). A stock split is exactly what it sounds like: a division of shares.
Hence, limited period of existence and centralized management are not typical characteristics of a corporation.