Concept

# Problem: Beck Company had $600 of supplies on hand at January 1, 2006. During 2006, supplies costing$6,000 were purchased. At December 31, 2006 a physical count revealed that Beck Company had $400 of supplies on hand. After the adjusting entries for 2006 are recorded and posted, the balances in the supplies account and the supplies expense account would be: A. supplies$6,000 and supplies expense $400 B. supplies$400 and supplies expense $6,400 C. supplies$400 and supplies expense $6,200 D. supplies$400 and supplies expense $6,600 E. supplies$6,200 and supplies expense $6,200 ###### FREE Expert Solution ###### Problem Details Beck Company had$600 of supplies on hand at January 1, 2006. During 2006, supplies costing $6,000 were purchased. At December 31, 2006 a physical count revealed that Beck Company had$400 of supplies on hand. After the adjusting entries for 2006 are recorded and posted, the balances in the supplies account and the supplies expense account would be:

A. supplies $6,000 and supplies expense$400

B. supplies $400 and supplies expense$6,400

C. supplies $400 and supplies expense$6,200

D. supplies $400 and supplies expense$6,600

E. supplies $6,200 and supplies expense$6,200