Iney Enterprises loaned $25,000 to Small Co. on June 1, Year 1, for one year at 8 percent interest. quired ow the effects of the following transactions in a horizontal statements model. (Enter any decreases to account balances and cash tflows with a minus sign. For changes on the Statement of Cash Flows, indicate whether the item is an operating activity (OA), resting activity (IA), or financing activity (FA). Not all cells require input. Do not round intermediate calculations. Round your al answers to the nearest whole dollar) (1) The loan to Small Co. (2) The adjustment at December 31, Year 1. (3) The adjustment and collection of the note on June 1, Year 2. Balance Sheet RAINEY ENTERPRISES Horizontal Statements Model Assets Liabilities Date Notes Cash Receivable Interest Receivable 1 6/1/Year 11 2 12/31/Year 11 3. 6/1/Year 2 Adjustment 6/1/Year 2 Note Collection + Stockholders' Income Statement Equity Retained Earnings Revenue Expense Net Income + + * Statement of Cash Flows