How are stock issuance costs and direct combination costs treated in a business combination which is accounted for as an acquisition when the subsidiary will retain its incorporation?

a) Stock issuance costs are a part of the acquisition costs and the direct combination costs are expensed

b) Direct combination costs are a part of the acquisition costs and the stock issuance costs are a reduction to additional paid-in capital

c) Direct combination costs are expensed and stock issuance costs are a reduction to additional paid-in capital
Both are treated as part of the acquisition price

d) Both are treated as a reduction to additional paid-in capital