$266$

Chapter $6$ Accounting for Capital Projects an

$2.$ A government should distinguish underwriting and other issue costs from bond premiums and discounts and in a governmental fund should

a$.$ Report them as expenditures

b$.$ Add them to the face value of the bond

c$.$ Report them in a separate account and amortize them over the life of the bond.

d$.$ Deduct them from the bond premiums or add them to the bond discount