TOTAL MANNSTU POM Although a proprietorship is not a separate legal entity, a partnership is. * True False 2 Purchasing supplies on credit increases assets while decreasing liabilities. * O True False ! On October 15, Gallery Corp. received $12,500 as a down payment on a consulting contract. The amount was credited to Unearned Consulting Revenue. By October 31, 10% of the contract was completed. Gallery Corp. needs to prepare an adjusting entry for $1,250.* True False Asset, liability and revenue accounts are not closed as long as a company continues in business. * True