30) Stockholders' equity consists of which of the following? A) Premiums and discounts. B) Paid-in capital and par value. C) Retained earnings and cash. D) Long-term assets. E) Paid-in capital and retained earnings.

31) Percy Corporation was formed on January 1. The corporate charter authorized 100,000 shares of $10 par value common stock. During the first month of operation, the corporation issued 400 shares to its attorneys in payment of a $5,000 charge for drawing up the articles of incorporation. The entry to record this transaction would include: A) A debit to Organization Expenses for $4,000. B) A credit to Paid-in Capital in Excess of Par Value, Common Stock for $5,000. C) A debit to Paid-in Capital in Excess of Par Value, Common Stock for $2,000. D) A debit to Organization Expenses for $5,000. E) A credit to Common Stock for $5,000.

32) A corporation issued 6,000 shares of its $2 par value common stock in exchange for land that has a market value of $84,000. The entry to record this transaction would include: A) A credit to Land for $12,000. B) A credit to Common Stock for $84,000. C) A debit to Land for $12,000. D) A debit to Common Stock for $12,000. E) A credit to Paid-in Capital in Excess of Par Value, Common Stock for $72,000.

33) A company issued 60 shares of $100 par value common stock for $7,000 cash. The total amount of paid-in capital is: A) $6,000. B) $600. C) $7,000. D) $1,000. E) $100.

34) A premium on common stock: A) Represents capital gain on sale of stock. B) Represents profit from issuing stock. C) Occurs when a corporation sells its stock for more than par or stated value. D) Is prohibited in most states. E) Is the difference between par value and issue price when the amount paid is below par.