Is the balance listed for supplies on the trial balance, before the accounts have been adjusted, the amount that should normally be reported on the balance sheet? Explain.
2007-09-18 12:18:28 · 7 answers · asked by lost.in.love 4 in Business & Finance ➔ Personal Finance
The trial balance before adjustments is what's shown in the accounts before any adjusting entries. It might be correct, or it might not be. Have you done an inventory of your supplies? Or are you referring to an expense account labeled "supplies?" If so, this would appear on the Income Statement, not the Balance Sheet.
Usually supplies are expensed, as they aren't significant enough to be capitalized. What type of business do you have that you're carrying supplies on the balance sheet? Is this inventory? Have you done an audit yet?
2007-09-18 12:24:29 · answer #1 · answered by Anonymous · 1⤊ 0⤋
No, you need to adjust it before it goes on the balance sheet. If you didn't use any of your supplies, or buy more, then the numbers will be the same but usualy they are different.
2007-09-18 19:27:39 · answer #2 · answered by j p 2 · 0⤊ 0⤋
IF I am understanding your question, supplies would be considered an expense and listed on the income statement instead of the balance sheet.
2007-09-18 19:23:12 · answer #3 · answered by Jim S 2 · 0⤊ 0⤋
Supplies is only a asset on homework, not in real life so write down whatever your teacher wants. If you were going to put them on a balance sheet it would be at cost and any shrinkage written off.
Accounting homework is hard because they do stupid things like this.
2007-09-18 19:25:48 · answer #4 · answered by shipwreck 7 · 0⤊ 0⤋
Huh?
2007-09-18 19:25:03 · answer #5 · answered by *Veronica* 4 · 1⤊ 0⤋
Your question isn't making sense to me.
2007-09-18 19:21:14 · answer #6 · answered by Anonymous · 1⤊ 0⤋
maybe
2007-09-18 19:23:12 · answer #7 · answered by MADIE 2 · 0⤊ 1⤋