Thanks for any help in advance. I am missing something... The excel document will tell me when I get the right answer and I haven't yet. In the General Journal it calls for the Office Supplies expense and the Store Supplies Expense. I have tried numerous variations of the numbers but can't figure it.

For some reason I couldn't attach the document, but I can email it ([email protected]), or here is the given information:
COLO COMPANY
Inv. No. Check
Date Description Name or Date No. Terms Amount
May1 Paid rent (80% selling space, 20% office space) S&P Management Co. 3410 $3,710
2 Sold merchandise on credit (cost $4,100) Hensel Company 8785 2/10, n/60 6,100
2 Issued credit memo on returned merch. Knox, Inc. Apr. 28 175
Total selling price (gross) Knox, Inc. Apr. 28 4,725
3 Received credit memo on returned merch. Peyton Products Apr. 29 798
4 Purchased merchandise on credit Gear Supply Co. May 4 n/10 EOM 37,072
Purchased store supplies on credit Gear Supply Co. May 4 n/10 EOM 574
Purchased office supplies on credit Gear Supply Co. May 4 n/10 EOM 83
5 Received payment less discount and return Knox, Inc. Apr. 28 n/10 EOM ?
8 Paid inv. Less 2 % discount and May 3 return Peyton Products Apr. 29 3411 ?
9 Sold store supplies for cash at cost 350
10 Purchased office equipment on credit Gear Supply Co. May 10 n/10 EOM 4,074
11 Received payment less discount Hensel Company May 2 ?
11 Purchased merchandise on credit Garcia, Inc. May 10 2/10, n/60 8,800
12 Received credit memo on returned merch. Gear Supply Co. May 10 854
15 Check issued for sales salaries Payroll 3412 5,320
Check issued for office salaries Payroll 3412 3,150
15 Cash sales for first half of month (cost $38,200) 59,220
16 Sold merchandise on credit (cost $1,890) Hensel Company 8786 2/10, n/60 3,990
17 Purchased merchandise on credit Fink Corp. May 14 2/10, n/60 13,650
19 Paid invoice less discount Garcia, Inc. May 10 3413
22 Sold merchandise on credit (cost $4,990) Lee Services 8787 2/10, n/60 6,850
23 Paid invoice less discount Fink Corp. May 14 3414 ?
24 Purchased merchandise on credit Gear Supply Co. May 23 n/10 EOM 8,120
Purchased store supplies on credit Gear Supply Co. May 23 n/10 EOM 630
Purchased office supplies on credit Gear Supply Co. May 23 n/10 EOM 280
25 Purchased merchandise on credit Peyton Products May 23 2/10, n/30 3,080
26 Sold merchandise on credit (cost $8,230) Crane Corp. 8788 2/10, n/60 14,210
26 Paid April electric bill Perennial Power 3415 1,283
29 Issued check to owner for personal use Jenny Colo 3416 7,000
30 Received payment less discount Lee Services May 22 ?
30 Check issued for sales salaries Payroll 3417 5,320
Check issued for office salaries Payroll 3417 3,150
31 Cash sales for second half of month (cost $42,500) 66,052

Additional information:
a. Expired insurance $553
b. Ending store supplies inventory 2,632
c. Ending office supplies inventory 504
d. Estimated depreciation of store equipment 567
e. Estimated depreciation of office equipment 329

The idea behind the supplies inventory is that when you purchase the supplies, you record it as an asset because you still have the stuff for your use. As an asset gets used up, expires, de-values, etc. it becomes an expense. So as the supplies are used up, that becomes an expense. You're just moving the used portion out of the supplies asset account and putting it into the supplies expense account.

Except it would be a little silly to record this every time you take a tube of pencil leads from the supply cabinet. So instead an inventory of the supplies will be taken at the end of the period to determine the current value of what is there. You want to match the balance of the supplies account to this number. So you have to subtract from the balance in there to see how much has been used up so that you can remove and expense it.

It's a bit similar to what you do with expired insurance (they are both deferred expenses), except that they've given you the expired portion for insurance, whereas the supplies they usually give you the balance left.

Not sure if you don't understand the above concept, or if you messed up the original entries so that you have a wrong balance, or what, cause I don't know what your final answers are.

Ok, Thank you, that makes sense, but I did the numbers again and I am still doing something wrong. The sales, purchase, cash receipts, and cash disbursements journals are all correct. The only thing I am missing on the general journal is the: Dr Store supplies Expense/Cr Store Supplies, Dr Office Supplies Expense/Cr Office Supplies in the Adjusting entries section and in the closing entries section I am missing the office supply expense and the store supply expense.

Given data for the store supplies: purchased $574 store supplies, sold (at cost) $350 store supplies, purchased $630 store supplies, ending store supply inventory is $2632

Given data for the Office supplies: purchased $83 office supplies, purchased $280 office supplies, ending office supply inventory is $504

I am going to keep trying, but if you have any information that would help me it would be appreciated. I am also trying to contact my teacher, but no such luck yet. Thank you.

Ok, I wanted to thank you so much for your insight. This is what I did wrong: I forgot to start with the starting inventory, which I found as a beginning balance on the ledger.

Beginning balance + Purchased - ending inventory = gave me the right answer

Thank you!!

You're welcome. And yeah, I couldn't told you that a beginning balance was missing and therefore I couldn't even answer it. But you found it first.