A Company Started the Year with $400 of Supplies

question 8

Multiple Choice

A company started the year with $400 of supplies.During the year,the company purchased an additional $1,200 of supplies.There were $700 of supplies on hand at the end of the year.An adjusting entry prepared at the end of the accounting period includes a:

• A)debit to Supplies for $800.
• B)debit to Supplies for $700.
• C)debit to Supplies Expense for $900.
• D)debit to Supplies Expense for $600.

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Definitions:

Unanimous Approval

A decision-making process where all participants agree on a specific outcome or decision.

Disbanding Corporation

The legal process of dissolving a corporation, concluding its affairs, and liquidating its assets.

Shareholder Objection

A formal expression of disagreement or protest by a shareholder, typically regarding proposed actions or policies of a corporation.

Shareholder List

A document detailing all current shareholders of a company, including their names, contact information, and the number and type of shares owned.