8. What is the appropriate adiustino journal entry to be made at the end of the period to record the use of supplies. The beginning balance of Office Supplies was $10,000 and a physical count of office supplies shows $4,500 still on hand. A) Debit Office Supplies, S5,500; Credit Office Supplies Expense, S5,500. B) Debit Office Supplies Expense, $5,500; Credit Office Supplies, S5,500. C) Debit Office Supplies Expense, $4,500; Credit Office Supplies, S4,500. D) Debit Office Supplies, S4,500; Credit Office Supplies Expense, S4,500. 9. The factor which determines whether or not goods should be included in a physical count of inventory is A) goods paid for. B) management's judgment. C) physical possession. Dy legal title 10. According to the revenue recognition principle, revenue for a service business is considered earned A) at the end of the year. C) when cash is received. B) when the service is performed. D) at the end of the month. 11. Ethics are the standards of conduct by which one's actions are judged as A) fair or unfair. B) right or wrong. C) honest or dishonest. Dy all of these. 12. Bob Company has a $500,000 balance in Accounts Receivable and a $5,000 debit balance in Allowance for Doubtful Accounts. Credit sales for the period totaled $2,000,000. What is the amount of the bad debt adjusting entry if Bob Co. uses a percentage of receivables basis (at 8%)? A) $45,000 B) $40,400 C) S35,000 D) $40,000 13. An owner's capital account will be reduced by a A) credit B) neither C) debit D) both debit and credit 14. The following information is available for Blue Company: Sales $200,000 Freight-in Ending Inventory 12,000 Purchase Returns and Allowances Purchases 100,000 Beginning Inventory $20,000 5,000 14,000 Blue's cost of goods sold is A) $151,000. B) $141,000. C) $117,000. D) S127,000