Question: Can you explain the correct approach to solve this general accounting question? A company, Eventful Events, started with $2,000 of supplies on January 1, 2018.

Can you explain the correct approach to solve this general accounting question?

Can you explain the correct approach to solve
A company, Eventful Events, started with $2,000 of supplies on January 1, 2018. During the year, they purchased $25,000 of supplies with cash. On December 31, 2018, they had $3,500 of supplies on hand. What entry will they report to record the supplies used for the year? A. Debit Supplies Expense and credit Supplies for $23,500. B. Debit Supplies Expense and credit Supplies for $25,500. C. None of these answers are correct. D. Debit Supplies Expense and credit Supplies for $22,500. E. Debit Supplies Expense and credit Supplies for $26,500

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