The policy at Adler Corporation is to expense all office supplies at the time of purchase.On the last day of the accounting period there are $1100 of unused office supplies on hand and the balance of supplies expense is $3500.What should the accountant do?
A) Increase Supplies and decrease Supplies Expense for $1100.
B) Nothing company policy says to expense supplies when purchased.
C) Convince management to change its policy to avoid problems in the future.
D) Increase Supplies Expense for $2400 and decrease Supplies for $2400.
Correct Answer:
Verified
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