Cornerstone Exercise 3-21 Adjustment for Supplies Pain-Free Dental Group Inc. purchased dental supplies of $18,200 during the year. At the end of the year, a physical count of supplies showed $4,125 of supplies on hand. Required: 1. Prepare the adjusting entry needed at the end of the year. Dec. 31 (Record the use of supplies) 2. What is the amount of supplies reported on Pain-Free's balance sheet at the end of the year? What is the amount of supplies expense reported on the income statement? Previous Next Check My Work Cornerstone Exercise 3-20 (Algorithmic) Deferred Expense Adjusting Entries Best Company had the following items that require adjustment at year end. a. Cash for equipment rental in the amount of $3,800 was paid in advance. The $3,800 was debited to prepaid rent when paid. At year end, $2,230 of the prepaid rent had expired. b. Cash for insurance in the amount of $8,900 was paid in advance. The $8,900 was debited to prepaid insurance when paid. At year end, $1,870 of the prepaid insurance was still unused Required: 1. Prepare the adjusting journal entries needed at December 31 Dec 31 (Record use of prepaid rent) Dec. 31 (Record use of prepaid insurance) 2. What is the balance in prepaid equipment rent and insurance expense at December 317 Prepaid equipment rent Insurance expense