QUESTION 3

Given below is the end of year financial information of a company. Ignore GST

At the beginning of the financial year 1 July 2018, the office supplies account of Forever Flowers Ltd showed a balance of $3,000. The company purchased more office supplies costing $8,000 during the year and debited the full amount to the office supplies account. At the end of the accounting period, a physical count revealed a stock of $1,800 worth of office supplies on hand. No adjusting entry has been made in relation to office supplies expenses for the year ended 30 June 2019.

REQUIRED:

Prepare the required end-of-period adjustment entry (Narrations not required).