U.s. gaap requires companies to record bond issue costs, Ask an Expert

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U.S. GAAP requires companies to record bond issue costs separately to not mislead investors. In other words, including these costs within Bonds Payable may mislead investors as to the true value of the debt. In this way, separation of bond issue costs makes the true debt more visible. Do you disagree with this treatment? Please describe.

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M956850

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