The supplies account for a company has a $1,000 debit balance at the beginning of the year. Supplies of $2,000 were purchased during the year and debited to the Supplies account. A December 31 physical count shows $500 of supplies remaining at the end of the year. Assume no other adjusting entries are made during the year. Using the 3-step process for creating adjusting entries.

Calculate the adjustment amount for supplies (no journal entry is required).

Answer rating: 100% (QA)

The current account balance equals 3000 the 1000 from January 1 plus 2000 purc... View the full answer