Office Supplies Somerville Corp. purchases office supplies once a month and prepares monthly financial statements. The asset account Office Supplies on Hand has a balance of $1,450 on May 1. Purchases of supplies during May amount to $1,100. Supplies an hand at May 31 amount to $920 Required: Prepare the necessary adjusting entry on Somerville's books on May 31. What will be the effect on net income for May if this entry is not recorded? Indicate the effect on finencial statement iterns by selecting"--for decrease (or negative effect),"for increase (or positive effect) and "NE" for No Entry (or no effect) on the financial statement. Journal Balance Sheet Income Statement Net Date Dabit Cradit Assats -Liabilities Equity Incoma May 31 Office Supplies Expense Office Supplies on Hand Net income for the month of May woukd be by sif this adjusting entry recognized because expenses would be Check My work Deferred Expense accurs when cash is paid before the expense is incurred