A sporting goods chain purchased supplies at a cost of $11,000 during the year. At January 1, the beginning balance in the supplies account was $3,000. At December 31, supplies on hand are $800. Determine supplies expense for the year.

Question

Quizplus · Accepted Answer

The supplies expense for the year is calculated by adding the beginning balance of supplies to the purchases made during the year and then subtracting the ending balance of supplies. This gives: $3,000 (beginning balance) + $11,000 (purchases) - $800 (ending balance) = $13,200.

A Sporting Goods Chain Purchased Supplies at a Cost of $11,000