"You do not appear to be using the nvidia x server"(screenshot included)

The GT 520M is a nVidia Optimus laptop which is unsupported in Ubuntu. There are ways to get program to run on the nvidia card though which is described in Is a NVIDIA GeForce with Optimus Technology supported by Ubuntu?

After installing Bumblebee, you are able to run nvidia-settings using:

optirun nvidia-settings -c :8

Do not just run nvidia-xconfig, it'll create the /etc/X11/xorg.conf configuration file which breaks compositing and such because the driver does not support the nvidia card out-of-the-box. If you've already ran that command, remove the file:

sudo rm /etc/X11/xorg.conf