Biology Forums - Study Force

The balance in the Office Supplies account had a debit balance on January 1, 2013, that equalled the $240 of supplies on hand. During the year, the company purchased $4,200 of supplies that were debited to the Office Supplies Expense account. The proprietor estimates that the cost of supplies remaining on hand on December 31 is $960. What is the required adjusting journal entry on December 31?
A)
Dr. Office Supplies Expense   3,480
    Cr. Office Supplies         3,480

B)
Dr. Office Supplies Expense   960
    Cr. Office Supplies         960

C)
Dr. Office Supplies    3,480
    Cr. Office Supplies Expense         3,480

D)
Dr. Office Supplies    720
    Cr. Office Supplies Expense         720

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