Net worth is defined to include issued capital stock, paid in surplus and retained earnings. Treasury stock should not be deducted from issued capital stock.The following guidance provides detailed descriptions for each major class of asset and examples of costs that should be included in the capitalized valued. To record the receipt of land for capital stock. Sixteen states levy capital stock taxes (often called state franchise taxes, though some states use that term for different types of taxes as well). General Questions: What types of entities are on file with the Corporations Division? What type of entity should I form? This section provides guidance on accounting and reporting of Capital Assets in the institution's general ledger and the Annual Financial Report (AFR).