Use this problem in conjunction with problem P2-50A.
Requirements
1. Journalize the transactions of Blythe Spirit Consulting, Inc. Explanations are not required.
2. Set up the following T-accounts: Cash, Accounts Receivable, Supplies, Land, Accounts Payable, Share Capital, Retained Earnings, Dividends, Service Revenue, Rent Expense, and Advertising Expense. Insert in each account its balance as given (example: Cash $1,300). Post the transactions to the accounts.
3. Compute the balance in each account. For each asset account, each liability account, and for Share Capital, compare its balance to the ending balance you obtained in problem P2-50A. Are the amounts the same or different? (In Chapter 3 , we complete the accounting process. There you will learn how the Retained Earnings, Dividends, Revenue, and Expense accounts work together in the processing of accounting information.)