A Credit to a Liability Account

question 89

Multiple Choice

A credit to a liability account

• A) indicates an increase in the amount owed to creditors.
• B) indicates a decrease in the amount owed to creditors.
• C) will always increase shareholders' equity.
• D) must be accompanied by a debit to an asset account.

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Definitions:

Job Enlargement

a job design method that increases the number of tasks for a worker to reduce the monotony of work.

Challenging

Invoking a test of one's abilities or resources in a demanding but stimulating manner.

Psychological Empowerment

The extent to which employees feel a sense of personal fulfillment and intent when carrying out tasks, together with a belief that their work contributes to some larger purpose.

Competence

The ability to do something successfully or efficiently, often referring to a specific skill set or knowledge area.