A company began the year with a balance of $1,500 in their supplies account. During the...

Transcribed Image Text:

A company began the year with a balance of $1,500 in their supplies account. During the year, they purchased $3,000 of supplies. On December 31 they did a count of supplies on hand and had $1,000 remaining. What is the adjusting journal entry needed to record supplies used during the year? OA) Debit Supplies Expense $1,000 and Credit Supplies $1,000 B) Debit Supplies Expense $3,500 and Credit Supplies $3,500 C) Debit Depreciation Expense $3,500 and Credit Accounts Payable $3,500 D) Debit Supplies $3,000 and Credit Supplies $1,000 A company began the year with a balance of $1,500 in their supplies account. During the year, they purchased $3,000 of supplies. On December 31 they did a count of supplies on hand and had $1,000 remaining. What is the adjusting journal entry needed to record supplies used during the year? OA) Debit Supplies Expense $1,000 and Credit Supplies $1,000 B) Debit Supplies Expense $3,500 and Credit Supplies $3,500 C) Debit Depreciation Expense $3,500 and Credit Accounts Payable $3,500 D) Debit Supplies $3,000 and Credit Supplies $1,000