2.) Assets have a normal debit balance account. Petty cash, Prepaid rent, and Office supplies are classified as assets and are increased with a debit

Liabilities have a normal credit balance account. Accounts payable, Insurance payable, and Interest Payable are classified as liabilities and are increased with a credit.

Equity has a normal credit balance account. The owner's equity or Common stock is classified as equity and is increased with a credit.

Assets, Dividends, and Expenses are increased with a debit. Liabilities, Common stock, and Revenues are increased with a credit.

3.) "Account receivable" is an asset account and the amounts owed by clients when performing a service on the account.

"Prepaid rent" is an asset account and an advance payment when renting.

"Accounts payable" is a liability account and an amount the business owes and must pay in the future.

"Notes payable" is a liability account and a written promissory note to pay a specific sum of amount in the future.

"Rent expense" is an expenses account and the total cost of rental used in a period.

"Salaries expense" is an expense account and the amount employees have earned during the period of time.

"Commission earned" is a revenue account and a fee paid to a person for providing goods and services.

Respond your thoughts on the above sentences.