prior to recording adjusting entries, the office supplies account had a $359 debit balance. a physical count…

prior to recording adjusting entries, the office supplies account had a $359 debit balance. a physical count of the supplies showed $105 of unused supplies available. the required adjusting entry is\nmultiple choice\ndebit office supplies $105 and credit office supplies expense $105.\ndebit office supplies expense $105 and credit office supplies $105.\ndebit office supplies expense $254 and credit office supplies $254.\ndebit office supplies $254 and credit office supplies expense $254.\ndebit office supplies $105 and credit cash $254.

prior to recording adjusting entries, the office supplies account had a $359 debit balance. a physical count of the supplies showed $105 of unused supplies available. the required adjusting entry is\nmultiple choice\ndebit office supplies $105 and credit office supplies expense $105.\ndebit office supplies expense $105 and credit office supplies $105.\ndebit office supplies expense $254 and credit office supplies $254.\ndebit office supplies $254 and credit office supplies expense $254.\ndebit office supplies $105 and credit cash $254.

Answer

Explanation:

Step1: Calculate used supplies

The initial debit balance of Office Supplies is $359 and the unused supplies are $105. So the used supplies amount is $359 - $105=$254.

Step2: Determine adjusting - entry

To record the used supplies, we need to debit Office Supplies Expense (to recognize the expense) and credit Office Supplies (to reduce the asset balance). The amount of the adjusting entry is $254 for both debit and credit.

Answer:

Debit Office Supplies Expense $254 and credit Office Supplies $254.