Hello
I have a Win 7 PC and use Photoshop CS (I also have Elements).
I am looking to recreate a logo something along the lines I have attached. It would go on a Website and letter-heads.
I believe the photo attached is in the public domain, but along the top and two sides it ever so slightly overlaps its black border, so I wouldn't want to reuse it. The wolf itself also looks 'jagged' in parts, though it may suffice as a small logo.
Would I just need a square black background to offset the black and white moon on top of it, and then on a third layer place the baying wolf (possibly more centered than this wolf is)? I am also not too sure about resolutions and if it ought to be saved as a JPEG or not.
Thanks for any pointers.

Steve