I$\text{'}$m only finind eplainations with answers only and would like some guidance as well.

Rainey Enterprises loaned $$35,000$ to Small Company on June $1,$ Year $1,$ for one year at $7$ percent interest.

Required:

Show the effects of the following transactions in a horizontal statements model.

Note: Enter any decreases to account balances and cash outflows with a minus sign. For changes on the Statement of Cash

Flows, Indicate whether the Item is an operating activity $($OA$),$ Investing activity $($IA$),$ or financing activity $($FA$).$ Not all cells require

Input. Do not round Intermediate calculations. Round your final answers to the nearest whole dollar.

$(1)$ The loan to Small Company

$(2)$ The adjustment at December $31,$ Year $1.$

$(3)$ The adjustment and collection of the note on June $1,$ Year $2.$

Answer is complete but not entirely correct.