The adjusted balance for Supplies was $403. The unadjusted balance for Supplies was $539. The amount of supplies expense would be recorded as a:
A)$403 debit.
B)$136 debit.
C)$136 credit.
D)$539 debit.

Question

Quizplus · Accepted Answer

The amount of supplies expense would be recorded as a debit for the decrease in the asset account. The adjusted balance for Supplies is the correct balance after taking into account any adjustments or usage during the period. The unadjusted balance is the balance before any adjustments. To determine the amount of supplies expense, we need to find the difference between the two balances:

$539 (unadjusted balance) - $403 (adjusted balance) = $136

Therefore, the amount of supplies expense would be recorded as a $136 debit.

The Adjusted Balance for Supplies Was $403