Under the Consumption Method for Recording Supplies That Are Maintained

question 67

Multiple Choice

Under the consumption method for recording supplies that are maintained on a perpetual inventory system, the adjusting entry made at year end would affect which of the following accounts?

• A) Fund Balance-Nonspendable-Inventory of Supplies.
• B) Fund Balance-Restricted-Inventory of Supplies.
• C) Expenditures.
• D) Inventory of Supplies.

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Definitions:

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