1. Effects of Transactions: For the transactions below of Shehata Coffee Shop (SCS), indicate how each transaction impacts the indicated sections of the financial statements by writing Increase, Decrease or NE (no effect) in the chart below. If the net impact of a transaction is zero, put NE (for example, if SCS purchases Equipment paying Cash, the Net Impact on all sections is zero (Equipment increases and Cash decreases by the same amount). All transactions are independent of each other. Note: DO NOT LEAVE A BOX BLANK. Each box is 12 point, 15 pts total: EXAMPLE: SCS borrows $15,000 to purchase a new Delivery Truck. a. SCS writes off an actual uncollectible customer. b. SCS has inventory valued at $200/unit on their books; the current market value is $150. C. SCS has a pending lawsuit that will not be finalized until the next accounting period; the lawyers indicate that it is probable that SCS will lose in the amount of $25,000. d. SCS estimates Warranty Liability for the period. e. A customer returns goods for a full cash refund. f. A customer submits a warranty claim and receives a replacement inventory. ASSETS LIABILITIES STOCKHOLDER EQUITY REVENUES/ GAINS EXPENSES/ LOSSES Example Increase Increase NE NE NE A B D E F