Olaf Company Began 2013 with $600 in Its Supplies Account

Olaf Company began 2013 with $600 in its supplies account. During the year, the company purchased $1,700 of supplies on account. The company paid $1,500 on accounts payable by year end. On December 31, 2013, Olaf counted $700 of supplies on hand. Olaf's financial statements for 2013 would show:

A) $800 of supplies; $100 of supplies expense
B) $700 of supplies; $1,600 of supplies expense
C) $700 of supplies; $1,000 of supplies expense
D) $800 of supplies; $1,700 of supplies expense