Identify the Type of Adjustment Necessary (The Type of Item

question 86

Essay

Identify the type of adjustment necessary (the type of item involved) and record the transaction for the event.Make sure to include the ending balances after adjustment.
Assume that on June 1, 2016, Tasty Sausage Corp.has a balance of $100 for supplies.On June 6 it purchased $600 in supplies for cash.On June 30, at the end of the accounting period, there are $300 of supplies on hand.The June 30
adjustment is: $$\begin{array} { | l | c | c | c | c | c | c | } \hline &{ \text { Assets = } } &&& { \text { Liabilities + Stockholders' Equity } } \\\hline & \text { Cash } & \text { Supplies } & \begin{array} { c } \text { Office } \\\text { Equipment }\end{array} & \begin{array} { c } \text { Accounts } \\\text { Payable }\end{array} & \begin{array} { c } \text { Common } \\\text { Stock }\end{array} & \begin{array} { c } \text { Retained } \\\text { Earnings }\end{array} \\\hline \text { Beg. Bal. } & - 100 & 100 & & & & \\\hline \begin{array} { l } \text { Supplies } \\\text { purchased }\end{array} & - 600 & 600 & & & & \\\hline \text { End. Bal. } & - 700 & 700 & & & & \\\hline\end{array}$$ ​