A credit to a liability account 1) indicates an increase in the amount owed to creditors....

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A credit to a liability account 1) indicates an increase in the amount owed to creditors. 2) indicates a decrease in the amount owed to creditors. 3) is an error. 4) must be accompanied by a debit to an asset account. A credit to a liability account 1) indicates an increase in the amount owed to creditors. 2) indicates a decrease in the amount owed to creditors. 3) is an error. 4) must be accompanied by a debit to an asset account.