On January 1,Nash Company had $1,000 of supplies on hand.During January,Nash purchased $5,500 worth of new supplies.At the end of the month,a count revealed $700 worth of supplies remaining on the shelves.The adjusting entry needed will include a debit to Supplies Expense of $5,800.The supplies were initially recorded as an asset.

Question

Quizplus · Accepted Answer

Supplies Expense = $1,000 + $5,500 - $700 = $5,800

On January 1,Nash Company Had $1,000 of Supplies on Hand