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-   -   Accounting Homework, An inventory count shows $480 of supplies on hand on May 1st. (https://www.askmehelpdesk.com/showthread.php?t=400734)

  • Sep 28, 2009, 02:22 PM
    Daydreamer14
    Accounting Homework, An inventory count shows $480 of supplies on hand on May 1st.
    An inventory count shows $480 of supplies on hand on May 1st.

    How would I write this in a journal?

    Dr: Cleaning Supplies 480
    Cr: depreciation 480


    Please help?
  • Sep 28, 2009, 09:33 PM
    bunnyKutty

    Give the other details relating to supplies as to what is the trial balance balance.
  • Sep 29, 2009, 12:00 AM
    morgaine300

    Depreciation would not be involved. Depreciation is lowing the value of a plant asset. Supplies aren't a plant asset. And the entry isn't trying to lower the value of them.

    However, what I don't get is that date. Giving you the supplies on hand is generally an adjusting entries, and you don't do adjusting entries at the beginning of a month. So can't say as I get that.
  • Mar 7, 2010, 03:06 PM
    meisha1

    Would it be supplies and supplies expense for $ 100 in adjusted entries
  • Mar 9, 2010, 04:56 PM
    millanbr

    How did you pay for the supplies? With cash? Or on account?
    If you paid with cash then debit supplies and credit cash. If you paid on account then, debit supplies and credit accounts payable
  • Mar 10, 2010, 04:12 AM
    morgaine300

    millanbr, the post specified it was an adjusting entry, not a purchase. Do you know what an adjusting entry is?

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