Bond issue costs have the effect of increasing a premium,or reducing a discount,on bonds issued.

Name: Bond issue costs have the effect of increasing a premium,or reducing a discount,on bonds issued.
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Quizplus · Accepted Answer

Bond issue costs are accounted for as an expense or amortized over the life of the bonds, and they do not affect the premium or discount on the bonds issued. They are treated separately in the financial statements.

Bond Issue Costs Have the Effect of Increasing a Premium,or