Direct Costs Incurred to Sell Stock Such as Underwriting Costs

question 120

Multiple Choice

Direct costs incurred to sell stock such as underwriting costs should be accounted for as 1. a reduction of additional paid-in capital.2. an expense of the period in which the stock is issued.3. an intangible asset.

• A) 1
• B) 2
• C) 3
• D) 1 or 3

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