Question

Need some help wrote random numbers to show format. Thank you

For each separate case below, follow the three-step process for adjusting the Supplies asset account at December 31. Step 1: Determine what the current account balance equals. Step 2: Determine what the current account balance should equal. Step 3: Record the December 31 adjusting entry to get from step 1 to step 2. Assume no other adjusting entries are made during the year. a. The Supplies account has a $400 debit balance to start the year. No supplies were purchased during the current year. A December 31 physical count shows $160 of supplies remaining. Supplies DR or CR? 44 Debit Step 1: Determine what the current account balance equals. $ 44 Step 2: Determine what the current account balance should equal. | $ 44 Debit 44 Step 3: Record the December 31, adjusting entry to get from step 1 to step 2. Adjusting Entry Debit Prepaid insurance Credit Prepaid rent

Answer 1

Supplies Debit/Credit 400 Debit Step1: Determine what the current account balance equals $ 400 $ 240 Step 2: Determine what the current account balance should equal $ 160 Debit 160 Step 3: Record the december 31adjusting entry to get from Step1 to Step2 Adjusting entry Accounts Title Supplies Expenses Supplies Credit Debit $ 240 $ 240 Debit/Credit $ 1,050 Debit Supplies $ Step 1: Determine what the current account balance equals 3,650 $ 2,875 Step 2: Determine what the current account balance should equal $ 775 Debit 775 Step 3: Record the december 31 adjusting entry to get from Step1 to Step2 Adjusting entry Accounts Title Supplies Expenses Supplies Credit Debit $ 2,875 $ 2,875 Beginning balance Add: Purchases Less: Closing Supplies Supplies Expenses $ 1,050 $ 2,600 $ -775 $ 2,875 Supplies Debit/Credit $ 4,500 Debit Step 1: Determine what the current account balance equals 14,900 $11,940 Step 2: Determine what the current account balance should equal $ 2,960 Debit 2,960 Step 3: Record the december 31adjusting entry to get from Step1 to Step2 Adjusting entry Accounts Title Supplies Expenses Supplies Credit Debit $11,940 $ 11,940 Beginning balance Add: Purchases Less: Closing Supplies Supplies Expenses $ 4,500 $10,400 $-2,960 $11,940