A comparative balance sheet and income statement is shown for Cruz, Inc. 2018 CRUZ, INC. Comparative Balance Sheets December 31, 2019 2019 Assets Cash $ 71,600 Accounts receivable, net 30,900 Inventory 64,700 Prepaid expenses 4,000 Total current assets 171,200 Furniture 80,600 Accum. depreciation-Furniture (12,500) Total assets $239, 300 Liabilities and Equity Accounts payable $ 11,300 Wages payable 6,800 Income taxes payable 1,100 Total current liabilities 19,200 Notes payable (long-term) 22,800 Total liabilisies 42,000 Equity Common stock, $5 par value 174,100 Retained earnings 23,200 Total liabilities and equity $239, 300 $ 18,000 38,200 71,700 3,300 131,200 93,500 (7,000) $217,700 $ 16,000 3,800 2,100 21,900 55,800 77,700 138,700 1,300 $217,700 CRUZ, INC. Income Statement For Year Ended December 31, 2019 Sales $372,800 Cost of goods sold 239,900 Gross profit 132,900 Operating expenses Depreciation expense $28,700 Other expenses 68, 100 96,800 Income before taxes 36,100 Income taxes expense 13,200 Net income $ 22,900 Required: Use the indirect method to prepare the operating activities section of the statement of cash flows. (Amounts to be deducted should be indicated with a minus sign.) Cash flows from operating activities Net income Adjustments to reconcile net income to operating cash flow Income statement items not affecting cash Changes in current operating assets and liabilities 0 S 0