Step 1 of 3
(a) calculate the adjustment for office supplies:
the adjustment for office...
Mathematics, 17.07.2019 22:30, daonewest09
Step 1 of 3
(a) calculate the adjustment for office supplies:
the adjustment for office supplies is the difference between the office supplies on hand and the ending balance of office supplies. it is given that the ending balance of supplies is $1,100 and the supplies on hand are $400. hence, the adjustment for office (referred as supplies used) supplies is $700 ($1,100 - $400).
step 2 of 3
(b) complete the transaction analysis box for the adjustment:
for the above adjustment, the office supplies expense will be increased and the office supplies will be decreased.
1
accounts affected
2
category
3
↑ ↓
4
rules
office supplies expense
expense
↑
dr
office supplies
asset
↓
cr.
t-accounts:
office supplies expense:
particulars
debit ($)
particulars
credit ($)
700
office supplies:
particulars
debit ($)
particulars
credit ($)
1,100
700
step 3 of 3
(c)
the balance of office supplies that should be reported on the adjusted trial balance will be the office supplies on hand. that is $400.
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