True/False Questions:

____ 21. Accruals are needed when an unrecorded expense has been incurred or an unrecorded revenue has been earned.

____ 22. Journalizing a transaction with both the debit and the credit for $69 instead of $96 will cause the trial balance to be out of balance.

____ 23. The Financial Accounting Standards Board (FASB) is the authoritative body that has primary responsibility for developing accounting principles.

____ 24. Accumulated Depreciation accounts are liability accounts.

____ 25. When cash is received in advance for services to be performed in the future, an accrued revenue adjusting entry will be required at the end of the reporting period in order to properly adjust the Unearned Revenue account.