### Accounting Impact Analysis This section examines the impact of various transactions on financial statements, focusing on the horizontal equation model. For each transaction, the affected accounts are specified. #### Transactions and Their Effects 1. **Record Sales on Account: $205,000** - **Assets:** Increase in Accounts Receivable by $205,000 - **Liabilities:** No impact - **Stockholders' Equity:** No impact - **Revenues:** Increase in Sales Revenue by $205,000 - **Expenses:** No impact - **Net Income:** Increases due to the recorded revenue - **Cash Flow:** No immediate impact 2. **Collection of Cash: $190,000** - (Data to be filled for the effects on assets, etc.) 3. **Establish Allowance for Uncollectible Accounts at Year-End** - (Data to be filled for specific impacts) 4. **Determine an Account Worth $6,000 as Uncollectible** - (Data to be filled for specific impacts) 5. **Collect $3,500 on a Previously Written-Off Account: Two-Step Entry** - (Data to be filled for specific impacts) This setup allows for analyzing how each financial move affects the overall company financials. Each row demonstrates these impacts across different sections of the company's financial statements. # Financial Transactions Table This table presents various financial transactions and their impacts on a company's accounting elements, such as assets, liabilities, and revenue. | No. | Assets | Liabilities | Stockholders' Equity | Revenues | Expenses | Net Income | Cash Flow | |-----|---------------------------------------------------|-------------|----------------------|---------------------------------------------------|----------|------------|-----------| | 1. | Increase Assets in the Form of Accounts Receivable $205,000 | NA | NA | Increase Revenue in the form of Sales Revenue $205,000 | NA | | | | 2. | | | | | | | | | 3. | | | | | | | | | 4. | | | | | | | | | 5a. | | | | | | | | | 5b. | | | | | | | | **NA:** Not Applicable. This table is a part of a study guide, Chapter 5, and is designed to help students understand the interaction between different financial accounts. The document is labeled as “Study guide - Chapter 5 (with solutions).docx” for detailed review and practice of accounting principles.