QUESTION 28 A company depreciates its equipment $500 a year. The adjusting entry on December 31 is a debit to Depreciation Expense, $500, and a credit to Equipment, $500. True False QUESTION 29 Assets, liabilities, and stockholders' equity accounts are real accounts and do not get closed at the end of the period. True False QUESTION 30 An exchange is said to have commercial substance if future cash flows remain the same as a result of the exchange. True False