Bihar Incs ordinary shares have a par value of Rs10, a book value of Rs240, and a

Question:

Bihar Inc’s ordinary shares have a par value of Rs10, a book value of Rs240, and a current market price of Rs180. Explain why these amounts are all different.

Par Value
Par value is the face value of a bond. Par value is important for a bond or fixed-income instrument because it determines its maturity value as well as the dollar value of coupon payments. The market price of a bond may be above or below par,...