Bond Issuance Costs

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Bond issuance costs refer to the expenses incurred by an entity in the process of issuing bonds. These costs typically include legal fees, underwriting fees, registration fees, and printing costs. Bond issuance costs are capitalized and amortized over the life of the bond, impacting the financial statements by reducing the net proceeds from the bond issuance. Proper accounting for bond issuance costs ensures accurate financial reporting and compliance with accounting standards.

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