Stanley Company earns $8,600 of revenue on account in Year 1 Cash collections of receivables amount to $3.500 in Year 1 with the remainder being collected in Year 2 Which of the following shows how the recognition of revenue in Year 1 will affect the company's accounting equation? Assets Balance Sheet Liabilities + Stockholders' Equity Accounts Accounts Common Retained Cash Receivable Payable Stock Earnings a. 3,500 n/a n/a n/a 3,500 b. n/a 3,500 n/a n/a 3,500 C. n/a 8,600 n/a n/a 3,600 d. 8,600 n/a n/a n/a 8,600