Rover Ltd. had $8,200 of supplies on hand at the beginning of the month. A count at the end of the month indicated $1,350 of supplies were still on hand. The adjusting entry at year end would include a:

Question

Quizplus · Accepted Answer

The correct adjusting entry to record the supplies used during the month involves debiting Supplies Expense for $6,850, which is the difference between the supplies on hand at the beginning of the month ($8,200) and the supplies on hand at the end of the month ($1,350). This entry recognizes the expense of the supplies used during the period.

Rover Ltd Had $8,200 of Supplies on Hand at the Beginning