Questions: The Supplies account had a 700 debit balance at the beginning of the year, and 3,480 of supplies were purchased during the year. The December 31 physical count showed 300 of supplies available. Note: Enter debits before credits. Transaction General Journal Debit Credit C. Supplies expense Supplies

Solution Steps

To determine the supplies expense for the year, we need to calculate the total amount of supplies used. This can be done by adding the beginning balance of supplies to the supplies purchased during the year and then subtracting the ending balance of supplies. The result will give us the supplies expense, which should be recorded as a debit in the journal entry.

To find the total supplies available during the year, we add the beginning balance of supplies to the supplies purchased during the year. This can be expressed as: \[ \text{Total Supplies Available} = \text{Beginning Balance} + \text{Purchased Supplies} \] Substituting the given values: \[ \text{Total Supplies Available} = 700 + 3480 = 4180 \]

The supplies used during the year can be calculated by subtracting the ending balance of supplies from the total supplies available: \[ \text{Supplies Used} = \text{Total Supplies Available} - \text{Ending Balance} \] Substituting the values: \[ \text{Supplies Used} = 4180 - 300 = 3880 \]

Final Answer