Use This Information to Answer the Following Question

question 17

Multiple Choice

Use this information to answer the following question. The trial balance for Nowwick Company appears as follows:
If on December 31,2014,supplies on hand were $120,the adjusting entry would contain a

• A)credit to Supplies for $120.
• B)credit to Supplies Expense for $180.
• C)debit to Supplies Expense for $180.
• D)debit to Supplies for $120.

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Definitions:

Company Cost

Expenses incurred by a business in the process of producing goods or services, including operational, production, and capital costs.

Capital

Financial assets or the financial value of assets, such as cash and goods, used to fund the production of goods and services or to pay for investments.

Outstanding Debt

The total amount of debt that a company or individual owes that has not yet been paid.

Nondiversifiable Risk

A type of risk inherent to the entire market or market segment that cannot be eliminated through diversification.