16. Journalizing is the process of entering amounts in the ledger. True False 17. Transactions are listed in the journal chronologically. True False 18. Journalizing transactions using the double-entry bookkeeping system will eliminate fraud. True False 19. Liability accounts are increased by debits. True False 20. Expense accounts are increased by credits. True False 21. Revenue accounts are increased by credits. True False 22. The normal balance of a capital account is a debit. True False 23. The normal balance of the drawing account is a debit. True False 24. The normal balance of an expense account is a credit. True False 25. The normal balance of revenue accounts is a credit. True False 26. Withdrawals decrease owner’s equity and are listed on the income statement as a deduction from revenue. True False 27. For a month’s transactions for a typical medium-sized business the salary expense account is likely to have only credit entries. True False 28. For a month’s transactions for a typical medium-sized business the accounts payable account is likely to have only credit entries. True False 29. When a business receives a bill from the utility company no entry should be made until the invoice is paid. True False 30. An account has three parts to it; a title an increase side and a decrease side. True False
