11. Unearned revenues are classified as liabilities.
12. Cash dividends should be treated as an expense to the business.
13. When a company provides services for which cash will not be received until some future date, the company should record unearned revenue for the amount charged to the customer.
14. The chart of accounts is a list of all the accounts used by a company and a corresponding identification number.
15. An account balance is the difference between the debits and credits for an account including any beginning balance.
16. Debit means the right-hand side of any account.
17. In a double-entry accounting system, the total amount debited must always equal the-total amount credited.
18. Increases in liability accounts are recorded as debits.
19. Debits increase both asset and expense accounts.
20. Double-entry accounting requires that the impact of each transaction be recorded in at least two accounts.