Rainey Enterprises loaned $30,000 to Small Co. on June 1, Year 1, for one year at 7 percent interest.RequiredShow the effects of the following transactions in a horizontal statements model. (Enter any decreases to accountbalances and cash outflows with a minus sign. For changes on the Statement of Cash Flows, indicate whetherthe item is an operating activity (OA), investing activity (IA), or financing activity (FA). Not all cells requireinput. Do not round intermediate calculations. Round your final 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.RAINEY ENTERPRISESHorizontal Statements ModelBalance SheetStockholders"EquityRetainedAssetsLiabilitiesDateNotesReceivableInterestReceivableCashReverEarnings1.6/1/Year 12.12/31/Year 13.6/1/Year 2 Adjustment++++++

Name: Rainey Enterprises loaned $30,000 to Small Co. on June 1, Year 1, for
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Description: Rainey Enterprises loaned $30,000 to Small Co. on June 1, Year 1, for one year at 7 percent interest.RequiredShow the effects of the following transactions in a horizontal statements model. (Enter any decreases to accountbalances and cash outflows w

Solution: Loan given will be recorded in the Notes receivable account. On Year end, adjustment will…

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Accounting

Cainey Enterprises loaned $30,000 to Small Co. on June 1, Year 1, for one year at 7 percent interest. tequired chow the effects of the following transactions in a horizontal statements model. (Enter any decreases to account alances and cash outflows with a minus sign. For changes on the Statement of Cash Flows, indicate whether he item is an operating activity (OA), investing activity (IA), or financing activity (FA). Not all cells require nput. Do not round intermediate calculations. Round your final 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. RAINEY ENTERPRISES Horizontal Statements Model Balance Sheet

Cainey Enterprises loaned $30,000 to Small Co. on June 1, Year 1, for one year at 7 percent interest. tequired chow the effects of the following transactions in a horizontal statements model. (Enter any decreases to account alances and cash outflows with a minus sign. For changes on the Statement of Cash Flows, indicate whether he item is an operating activity (OA), investing activity (IA), or financing activity (FA). Not all cells require nput. Do not round intermediate calculations. Round your final 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. RAINEY ENTERPRISES Horizontal Statements Model Balance Sheet

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter16: Statement Of Cash Flows

Section: Chapter Questions

Problem 3EA: In which section of the statement of cash flows would each of the following transactions be...

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