Stannous Company Earns $10,000 of Revenue on Account in Year $\quad3,500 \quad-3,500$

Stannous Company earns $10,000 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 collection of cash will affect the company's accounting equation in Year 1?
A. $\quad3,500 \quad-3,500$
B. $\quad3,500 \quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad-3,500$
C. $\quad10,000 \quad10,000\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad-4,000$
D. $\quad\quad\quad\quad\quad10,000 \quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad-10,000$

A) Option A
B) Option B
C) Option C
D) Option D