The Whispering Winds Corp. purchased $7820 worth of laundry supplies on June 2 and recorded the purchase as an asset. On June 30, an inventory of the laundry supplies indicated only $1380 on hand. The adjustment that should be made by the company on June 30 is:

a. increase Supplies, $6440; decrease Supplies Expense, $6440.

b. increase Supplies, $1380; decrease Supplies Expense, $1380.

c. increase Supplies Expense, $6440; decrease Supplies, $6440.

d. increase Supplies Expense, $1380; decrease Supplies, $1380.

assets is increase.

so b?