Which of the following costs of a business combination can be included in the value charged to paid-in-capital in excess of par?
A) direct and indirect acquisition costs
B) direct acquisition costs
C) direct acquisition costs and stock issue costs if stock is issued as consideration
D) stock issue costs if stock is issued as consideration

Question

Quizplus · Accepted Answer

Stock issue costs, if stock is issued as consideration, can be included in the value charged to paid-in-capital in excess of par. Direct acquisition costs are expensed as incurred.

Which of the Following Costs of a Business Combination Can