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QUESTION 6 Correct Mark 214.00 out of 214.00 Transaction Analysis and Trial Balance Pam Brown owns Art Graphics, a firm providing designs for advertisers and market analysts. On July 1, the business’s general ledger showed the following normal account balances: Cash $6,800 Accounts Payable $2,100 Accounts Receivable 9,800 Notes Payable 3,300 Common Stock 2,000 Retained Earnings 9,200 Total Assets $16,600 Total Liabilities and Stockholders' Equity $16,600 The following transactions occurred during the month of July: July 1 Paid July rent, $510. 2 Collected $7,100 on account from customers. 3 Paid $1,800 installment due on the $3,300 noninterest-bearing note payable.

4 Billed customers for design services rendered on account, $16,550. 5 Rendered design services and collected from cash customers, $1,200. 6 Paid $1,400 to creditors on account. 7 Collected $12,750 on account from customers. 8 Paid a delivery service for delivery of graphics to commercial firms, $650. 9 Paid July salaries, $4,600. 10 Received invoice for July advertising expense, to be paid in August, $600.