137k views
0 votes
At the beginning of the​ month, supplies were $ 3,500. During the​ month, $ 5, 000 of supplies were purchased. At​ month's end, 1,500 of supplies are still on hand.

1. What is the bullet adjusting​ entry?
2. What is the bullet ending balance in the Supplies​ account?

User Rlibby
by
7.8k points

1 Answer

4 votes

Step-by-step explanation:

1. The adjusting entry is as follows:

Supplies expense A/c Dr $7,000

To Supplies A/c $7,000

(Being supplies account is adjusted)

The supplies expense is computed below:

= Supplies opening balance + purchase of supplies - supplies are still on hand

= $3,500 + $5,000 - $1,500

= $7,000

2. The ending balance in the supplies account is $1,500 only which are still on hand.

User Urszula
by
7.5k points

No related questions found

Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.