Sec.  32.4520   Additional paid-in capital.

   (a) This account shall include the difference between the net proceeds
   (including discount, premium and stock issuance expense) received from the
   issuance of capital stock and the amount includable in Account 4510, Capital
   Stock, unless such difference results in a debit balance for that class of
   stock, in which case the amount shall be charged to Account 4550, Retained
   Earnings.

   (b) This account shall also include gains arising from the retirement and
   cancellation of capital stock. Losses from the retirement and cancellation
   of capital stock shall be charged to this account to the extent that there
   exist credits in this account for the same class of stock; otherwise to
   Account 4550.