2 Adjusting entries are necessary because... 0000 Some revenues and expenses are incurred as time passes rather than as separate transactions. Some expenses are not recorded daily. Some revenues or expenses may be unrecorded at the end of the accounting period. All of the above. Question 3 The book value or net book value of a building is calculated as... The building cost minus the related accumulated depreciation. The building cost plus the related accumulated depreciation, The estimated market value of the building minus the cost to sale it. The total depreciation expense recorded minus the change in market value of the building