Problem

At the beg inning of 2011, Donna Company had $1.000 of supplies on hand . During 2011. the...

At the beg inning of 2011, Donna Company had $1.000 of supplies on hand . During 2011. the company purchased supplies amounting to $6.400 (paid for in cash and debited to Supplies). At December 31. 2011. a count of supplies reflected $2 ,600. The adjusting entry Donna Company would record on December 31,2011, to adjust the Supplies account would include a

a. Debit to Supplies for $2.600.

b. Credit to Supplies Expense for $4,800.

c. Credit to Supplies for $2.600.

d. Debit to Supplies Expense for $4,800.

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