Rainey Enterprises loaned $25,000 to Small Company on June 1, Year 1, for one year at 9 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. Date 1. 6/1/Year 1 2. 12/31/Year 1 3. 6/1/Year 2 Adjustment 3. 6/1/Year 2 Note Collection Cash 25,000 + + + Assets Notes Receivable + +++ RAINEY ENTERPRISES Horizontal Statements Model Balance Sheet Interest Receivable Liabilities + Stockholders' Equity Retained Earnings Revenue Income Statement 01- 750 750 |||| Ti Expense Net Income Check my work Statement of Cash Flows

Rainey Enterprises loaned $25,000 to Small Company on June 1, Year 1, for one year at 9 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