At the Beginning of 20B,Down Company Had Office Supplies Inventory

Multiple Choice

At the beginning of 20B,Down Company had office supplies inventory of $400.During 20B,the company purchased office supplies amounting to $2,500 (paid for in cash and debited to office supplies inventory) .At December 31,20B (end of the accounting year) ,a count of office supplies on hand reflected $300.Therefore,the adjusting entry should include which of the following?

A) credit to office supplies inventory of $2,400.
B) credit to office supplies inventory of $2,500.
C) debit to supplies expense of $2,500.
D) debit to supplies expense of $2,600.