On June 1, Unidevo, Inc.purchased $1,700 worth of supplies on account.Prior to the purchase, the balance in the supplies account was $0.On December 31, the fiscal year-end for Unidevo, it is determined that $800 of supplies still remain.What is the balance in the supplies account after adjustment?
A) $800
B) $900
C) $0
D) $1,700

Question

Quizplus · Accepted Answer

The balance in the supplies account after adjustment is $800, which represents the value of supplies still remaining at the end of the fiscal year. The adjustment accounts for the supplies used during the year ($1,700 - $800 = $900 used), leaving $800 worth of supplies as the ending balance.