Adjusting Entries are needed at the end of the period to make sure that accrual accounting principles are applied. At the starting of the month $1,350 of office supplies were purchased. There was not a beginning balance and the one purchase was the only one for the month. At the end of the month $500 of supplies remained. Make the adjusting entry.
a) Name the accounts impacted and how using the format account name or debit or credit or dollar amount
b) Describe how the Accounting Equation is impacted.