Ask Question
16 December, 17:12

Prior to recording adjusting entries, the Office Supplies account had a $359 debit balance. A physical count of the supplies showed $105 of unused supplies available. The required adjusting entry is:

a. Debit Office Supplies $105 and credit Office Supplies Expense $105.

b. Debit Office Supplies Expense $105 and credit Office Supplies $105.

c. Debit Office Supplies Expense $254 and credit Office Supplies $254.

d. Debit Office Supplies $254 and credit Office Supplies Expense $254.

e. Debit Office Supplies $105 and credit Supplies Expense $254.

+3
Answers (1)
  1. 16 December, 20:49
    0
    c. Debit Office Supplies Expense $254 and credit Office Supplies $254.

    Explanation:

    The adjusting entry is as follows

    Office Supplies expense A/c Dr $254

    To Office Supplies A/c $254

    (Being supplies account is adjusted)

    The supplies expense is computed by

    = Debit balance of office supplies - unused supplies available

    = $359 - $105

    = $254

    The $254 is to be reported as an office supplies expense.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Prior to recording adjusting entries, the Office Supplies account had a $359 debit balance. A physical count of the supplies showed $105 of ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers