If no account or activity is affected, select $"$No effect" from the dropdown and leave the corresponding number entry box blank. Enter account decreases and cash outflows as negative amounts.

Balance Sheet

Assets $=$ Liabilities $+$ Stockholders' Equity

Cash

$+$

Allowances for Doubtful Accounts

$=$

Accounts payable

$+$

$20$Y$8$ Aug. $17$ fill in the blank $54$

fill in the blank $55$

fill in the blank $56$

$-2,950$

fill in the blank $57$

$2,950$

Statement of Cash Flows Income Statement

No effect

fill in the blank $59$

Net income

fill in the blank $61$

$2,950$

$6.$ Assume that instead of using the allowance method, Averys All$-$Natural uses the direct write$-$off method. Illustrate the effect on the accounts and financial statements of the following:

a$.$ The write$-$off of the Superior Images account on March $4,20$Y$8.$

If no account or activity is affected, select $"$No effect" from the dropdown and leave the corresponding number entry box blank. Enter account decreases and cash outflows as negative amounts.

Balance Sheet

Assets $=$ Liabilities $+$ Stockholders' Equity

$+$

$=$

$+$

$20$Y$8$ Mar. $4$ fill in the blank $66$

fill in the blank $67$

fill in the blank $68$

fill in the blank $69$

Statement of Cash Flows Income Statement

fill in the blank $71$

fill in the blank $73$

b$.$ The $(1)$ reinstatement and $(2)$ collection of the Superior Images account on August $17,20$Y$8.$

$(1)$ reinstatement

If no account or activity is affected, select $"$No effect" from the dropdown and leave the corresponding number entry box blank. Enter account decreases and cash outflows as negative amounts.

Balance Sheet

Assets $=$ Liabilities $+$ Stockholders' Equity

$+$

$=$

$+$

$20$Y$8$ Aug. $17$ fill in the blank $78$

fill in the blank $79$

fill in the blank $80$

fill in the blank $81$

Statement of Cash Flows Income Statement

fill in the blank $83$

fill in the blank $85$

$(2)$ collection

If no account or activity is affected, select $"$No effect" from the dropdown and leave the corresponding number entry box blank. Enter account decreases and cash outflows as negative amounts.

Balance Sheet

Assets $=$ Liabilities $+$ Stockholders' Equity

$+$

$=$

$+$

$20$Y$8$ Aug. $17$ fill in the blank $90$

fill in the blank $91$

fill in the blank $92$

fill in the blank $93$

Statement of Cash Flows Income Statement

fill in the blank $95$

fill in the blank $97$