Ashley Conners owns La Jolla Art Company, a firm providing designs for advertisers, market analysts, and others. On July 1, the business's general ledger showed the following normal account balances:

Cash	$14,500	Accounts Payable	$2,100
Accounts Receivable	9,800	Notes Payable	7,000
		Common Stock	11,200
		Retained Earnings	4,000
Total Assets	$24,300	Total Liabilities and Stockholders' Equity	$24,300

The following transactions occurred during the month of July:

	1	Paid July rent, $670.
	2	Collected $8,100 on account from customers.
	3	Paid $3,500 installment due on the $7,000 noninterest-bearing note payable.
	4	Billed customers for design services rendered on account, $21,000.
	5	Rendered design services and collected from cash customers, $1,400.
	6	Paid $1,900 to creditors on account.
	7	Collected $16,500 on account from customers.
	8	Paid a delivery service for delivery of graphics to commercial firms, $400.
	9	Paid July salaries, $4,600.
	10	Received invoice for July advertising expense, to be paid in August, $620.
	11	Paid utilities for July, $350.
	12	The business paid a $2,000 cash dividend.
	13	Received invoice for supplies used in July, to be paid in August, $1,575.
	14	Purchased computer for $4,300 cash to be used in the business starting next month.

Required:

a. Set up accounts for the general ledger accounts with July 1 balances and enter the beginning balances. Also provide the following accounts: Equipment; Dividends; Service Fees Earned; Rent Expense; Salaries Expense; Delivery Expense; Advertising Expense; Utilities Expense; and Supplies Expense. Prepare journal entries and record the listed transactions in the appropriate T-accounts.

b. Prepare a trial balance as of July 31.

• Journal Entries
• T-Accounts
• Trial Balance