6. a company started the year with no supplies. during the year they bought $200 worth of supplies on…

6. a company started the year with no supplies. during the year they bought $200 worth of supplies on account and later paid $150 of this debt. if there were $40 worth of supplies left at the end of the year, what is the supply expense for the period?
Answer
Explanation:
Step1: Determine the supplies available for use
The company bought $200 worth of supplies. So, the supplies available for use is $200.
Step2: Calculate the supply expense
Supply expense = Supplies available for use - Supplies on - hand at the end. Supplies on - hand at the end is $40. So, supply expense = $200 - $40. $200−40 = 160$
Answer:
$160$