Liability Accounts Are Increased by Debits

question 25

True/False

Liability accounts are increased by debits.

---

Definitions:

Division Charges

Fees or costs allocated to separate departments or divisions within a company for internal accounting or budgeting purposes.

Premium Pricing

A strategy where goods or services are priced higher than the market average to create a perceived value of higher quality or exclusivity.

Odd Pricing

A pricing strategy that involves setting prices just below round numbers (e.g., $9.99 instead of $10) to make products appear cheaper to consumers.

Gray Market Activity

The trade of a commodity through distribution channels that, while legal, are unofficial, unauthorized, or unintended by the original manufacturer.