80.2K

Verified Solution

Link Copied!

E3: Chapter 3 Adjusting Accounts & Preparing Financial Statements (10 Points)

An entry to record the purchase of $1,000 of supplies on September 1 has been journalized and the relevant amount posted to the Supplies account. A physical count of the supplies-on-hand at the end of September showed $400 of supplies. Prepare and post the required adjusting entry needed to bring the balance in the supplies account to the proper amount. Remember to use the Date and PR columns in both the journal and the ledger.

General Journal

				Page 1
Date
2016	Account Titles and Explanation	PR	Debit	Credit
9/01	Supplies	120	1,000
	Cash	100		1,000
	ADJUSTING ENTRIES

General Ledger

		SUPPLIES		Account	No. 120
Date
2016	Explanation	PR	Debit	Credit	Balance
9/01		G1	1,000		1,000

		SUPPLIES	EXPENSE	Account	No. 620
Date
2016	Explanation	PR	Debit	Credit	Balance

Answer & Explanation Solved by verified expert

See Answer