On August 1, the supplies account balance was $1,025. During August, supplies of $3,110 were purchased, and $1,324 of supplies

On August 1, the supplies account balance was $1,025. During August, supplies of $3,110 were purchased, and $1,324 of supplies were on hand as of August 31. Determine supplies expense for August.

Answer:

Using the following T account, solve for the amount of supplies expense (indicated by ? below).

Aug. 1 Bal. 1,025 ? Supplies expense Supplies purchased 3,110 Aug. 31 Bal. 1,324 

$1,324 = $1,025 + $3,110 – Supplies expense

Supplies expense = $1,025 + $3,110 – $1,324 = $2,811