Which of the following statements about shares of stocks is false?

To understand why the statement regarding unlisted common shares using the adjusted net asset method is considered false, it's important to clarify how shares are typically valued for tax purposes, particularly in the context of unlisted stocks.

Unlisted common shares are generally valued using the book value or the income method, depending on the specifics of the financial circumstance or business. The adjusted net asset method, however, is typically applicable to businesses or asset-based valuations rather than common shares themselves. This valuation method looks at the fair market value of a company's total net assets and is less commonly used for determining the value of common stocks, especially not in isolation without considering income-generating potential or book value.

In contrast, the other statements provide more accurate valuation methods for different contexts. Unlisted preferred shares are often valued at par value because they have a defined face value that is specified in their issuance terms. For unlisted common shares, book value often serves as a practical measure due to the availability and reliability of the company's financial records. Additionally, for listed shares, using the arithmetic mean of the highest and lowest quoted prices on the valuation date is a standard practice, providing a reliable reflection of the shares’ market value.

Thus, the incorrectness of the first statement stems from its mis