At the beginning of the period, Ritz Corporation had $400 of supplies on hand. During the period, it purchased $900 of supplies and at the end of the period, the company determined that only $800 of supplies were still on hand.

What adjustment should Ritz Corporation make at the end of the period?

Select one:

a.

BALANCE SHEET	INCOME STATEMENT
ASSETS	=	LIABILITIES	+	STOCKHOLDER'S EQUITY	REVENUE	-	EXPENSE
Supplies							Supplies Expense
-1,300				-1,300			+1,300

b.

BALANCE SHEET	INCOME STATEMENT
ASSETS	=	LIABILITIES	+	STOCKHOLDER'S EQUITY	REVENUE	-	EXPENSE
Supplies							Supplies Expense
+500				+500			-500

c.

BALANCE SHEET	INCOME STATEMENT
ASSETS	=	LIABILITIES	+	STOCKHOLDER'S EQUITY	REVENUE	-	EXPENSE
Supplies							Supplies Expense
+1,300				+1,300			-1,300

d.

BALANCE SHEET	INCOME STATEMENT
ASSETS	=	LIABILITIES	+	STOCKHOLDER'S EQUITY	REVENUE	-	EXPENSE
Supplies							Supplies Expense
-500				-500			+500