Adjusting office supplies to the year-end count

Transaction

On January 1 the Supplies account had a balance of $600.00. Supplies bought during the year for $2,400.00 were debited to Supplies, and no supplies expense has been recorded this year. The count on December 31 finds supplies costing $450.00 on hand. Record the adjusting entry.

Assumptions: The company records supplies as an asset (Supplies) and recognizes the supplies used only at year end.