When a Firm Purchases Supplies for Use in Its Business $$\begin{array} { | l | l | } \hline \text { Dr. } & \text { Supplies } \\\hline \text { Cr. } & \text { Accounts payable } \\\hline\end{array}$$

question 4

Multiple Choice

When a firm purchases supplies for use in its business, and the cost of the supplies purchased is recorded as an asset, the following adjustment to recognize the cost of supplies used will probably be required:

• A) \[\begin{array} { | l | l | }
• \hline \text { Dr. } & \text { Supplies } \\
• \hline \text { Cr. } & \text { Accounts payable } \\
• \hline
• \end{array}\]
• B) \[\begin{array} { | l | l | }
• \hline \text { Dr. } & \text { Supplies } \\
• \hline \text { Cr. } & \text { Supplies expense } \\
• \hline
• \end{array}\]
• C) \[\begin{array} { | l | l | }
• \hline \text { Dr. } & \text { Supplies expense } \\
• \hline \text { Cr. } & \text { Supplies } \\
• \hline
• \end{array}\]
• D)No adjustment will probably be required.

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Definitions:

Gather Information

The process of collecting data from different sources to gain a comprehensive understanding of a subject or situation.

Request For Proposals

A formal document that solicits detailed bids from potential vendors or service providers for a specific project or need, aiming to evaluate available options.

Soliciting Proposals

involves requesting formal submissions from vendors or partners to evaluate potential solutions or services for a specific need or project.

Unethical Tactics

Strategies or actions that are deceitful, dishonest, or violate moral principles.