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Salt Corporation issues bonds with a face amount of $ 1 0 million and a stated interest rate of 8 % . The market interest

Salt Corporation issues bonds with a face amount of $10 million and a stated interest rate of 8%. The market interest rate associated with the bonds is 6%. Bond issue costs are $200,000. The bond issue costs should be recognized as a:
A) deferred charge.
B) period expense.
C) reduction of the bond premium.
D) bond discount.
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