Questions: Supplies: The Supplies account has an 800 debit balance to start the year. Supplies of 2,100 were purchased during the current year and debited to the Supplies account. A December 31 physical count shows 650 of supplies remaining.

Supplies: The Supplies account has an 800 debit balance to start the year. Supplies of 2,100 were purchased during the current year and debited to the Supplies account. A December 31 physical count shows 650 of supplies remaining.

Transcript text: b. Supplies: The Supplies account has an $\$ 800$ debit balance to start the year. Supplies of $\$ \mathbf{2 , 1 0 0}$ were purchased during the current year and debited to the Supplies account. A December 31 physical count shows $\$ 650$ of supplies remaining.

Solution

Solution Steps

To determine the amount of supplies used during the year, we need to calculate the difference between the total supplies available and the supplies remaining at the end of the year. The total supplies available is the sum of the beginning balance and the supplies purchased during the year. The supplies used is then the total supplies available minus the supplies remaining.

Step 1: Calculate Total Supplies Available

To find the total supplies available during the year, we add the beginning balance of supplies to the supplies purchased during the year. Mathematically, this is expressed as:

\[ \text{Total Supplies} = \text{Beginning Balance} + \text{Purchased Supplies} \]

Substituting the given values:

\[ \text{Total Supplies} = 800 + 2100 = 2900 \]

Step 2: Calculate Supplies Used

To determine the supplies used during the year, we subtract the supplies remaining at the end of the year from the total supplies available. This can be expressed as:

\[ \text{Supplies Used} = \text{Total Supplies} - \text{Remaining Supplies} \]

Substituting the calculated and given values:

\[ \text{Supplies Used} = 2900 - 650 = 2250 \]