Question

Kingbird, Inc. purchased office supplies costing $7980 and debited Supplies for the full amount. At the end of the accounting period, a physical count of office supplies revealed $2850 still on hand. The appropriate adjusting journal entry to be made at the end of the period would be:

Answer 1

Answer and Explanation:

In The books Of (Kingbird Inc.)

Journal Entry

Date Account Title and Explanation Amount Amount

Supplies Expenses a/c Dr $5,130

To Supplies a/c $5,130

(Being adjusted entry held for remain Supplies)

Working Note:

Amount = ($7,980 - $2,850) = $5,130