Classifying Adjusting Entries The following accounts were taken from the unadjusted trial balance of Murray Co., a congressional lobbying firm. Indicate whether or not each account would normally require an adjusting entry. If the account normally requires an adjusting entry, use the following notation to indicate the type of adjustment: AE-Accrued Expense AR-Accrued Revenue PE-Prepaid Expense UR-Unearned Revenue To illustrate, the answer for the first account follows: Account Answer Accounts Receivable Normally requires adjustment (AR). Building Cash Common Stock Interest Receivable Land Prepaid Rent Salaries Payable Supplies To illustrate, the answer for the first account follows: Account Answer Accounts Receivable Normally requires adjustment (AR). Building Cash Does not normally require adjustment. Common Stock Normally requires adjustment (AE). Interest Receivable Normally requires adjustment (AR). Land Normally requires adjustment (PE). Prepaid Rent Normally requires adjustment (UR). Salaries Payable Supplies Unearned Fees Wages Expense Adjusting Entry for Supplies The balance in the supplies account, before adjustment at the end of the year, is $2,450. Journalize the adjusting entry required if the amount of supplies on hand at the end of the year is $1,152. Accounts Receivable Accounts Payable Cash Supplies Supplies Expense Supplies Payable Supplies Revenue