E Menu Ashley Somers owns San Diego Art Company, a firm providing designs for advertisers, market analysts, and ot On July 1, the business's general ledger showed the following normal account balances: Cash Accounts Receivable 10,200 Notes Payable 10,900 Accounts Payable $2,400 5,400 10,900 2,400 $21,100 Common Stock Retained Earnings Total Assets $21.100 Total Liabilities and Stockholders' Equity The following transactions occurred during the month of July: July 1 Paid July rent, $1,070. 2 Collected $8,500 on account from customers 3 Paid $2,900 installment due on the $5,400 noninterest-bearing note payable. 4 Billed customers for design services rendered on account, $19.950 5 Rendered design services and collected from cash customers, $1,600 6 Paid $2,100 to creditors on account 7 Collected $15,150 on account from customers 8 Paid a delivery service for delivery of graphics to commercial firms, $800. 9 Paid july salaries, $5,000. 10 Received invoice for july advertising expense, to be paid in August, $1,000 11 Paid utilities for July, $750 12 The business paid a $2,400 cash dividend. 13 Received invoice for supplies used in July, to be paid in August, $2.660. 14 Purchased computer for $4,700 cash to be used in 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 re the listed transactions in the appropriate T-accounts