The following adjusting journal entry does not include an explanation.Select the best explanation for the entry.
A) Adjust supplies inventory to actual.
B) Record purchase of supplies.
C) Reduce supplies expense.
D) Record sale of supplies.

Question

The following adjusting journal entry does not include an explanation.Select the best explanation for the entry. 
A) Adjust supplies inventory to actual. 
B) Record purchase of supplies. 
C) Reduce supplies expense. 
D) Record sale of supplies.

Quizplus · Accepted Answer

This adjusting entry is adjusting the supplies inventory to reflect the actual amount remaining on hand. This could be due to an inventory count or physical check of supplies.

The Following Adjusting Journal Entry Does Not Include an Explanation