Discussion:Adjusting Par Value

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Discussion Forum Index --> Accounting Questions --> Adjusting Par Value

TenThirty (talk|edits) said:

26 May 2009
Hello,

I need to adjust par value for a client. Basically, the proper documents on the legal side are being filed and I need to make an adjustment on the books to reflect the proper par value.

Not sure what the entry would be, this is a first. It appears I would want to debit "Common Stock - Par" but not sure what to credit since there is nothing occurring except for legal documents.

Par value is going from $1 to one cent per share.

Thanks!!

Kevinh5 (talk|edits) said:

26 May 2009
what makes you think that an entry is necessary?

AEM CPA (talk|edits) said:

26 May 2009
And Kevin's not even a CPA.  ;o)

AEM CPA (talk|edits) said:

26 May 2009
APIC?

TenThirty (talk|edits) said:

26 May 2009
Generally, as I recall this is usually taken care of via a "memorandum entry". However, was thinking maybe there was something I was missing.

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