A comparative balance sheet and income statement is shown for Cruz, Incorporated. CRUZ, INCORPORATED Comparative Balance Sheets At December 31 2021 2020 Assets Cash Accounts receivable, net Prepaid expenses $ 75,900 32,600 Inventory Total current assets Furniture Accumulated depreciation-Furniture Total assets Liabilities and Equity Wages payable Accounts payable Income taxes payable 68,300 $ 18,900 40,100 75,300 4,200 3,500 181,000 137,800 84,600 $ 252,500 $ 11,900 7,100 1,200 (13,100) 99,200 (7,500) $ 229,500 $ 16,900 4,000 2,200 Total current liabilities Notes payable (long-term) Total liabilities Equity Common stock, $5 par value Retained earnings 20, 200 23,100. 24,800 58,400 45,000 81,500 177,300 30,200 141,500 6,500 Total liabilities and equity $ 252,500 $ 229,500 CRUZ, INCORPORATED Income Statement Sales CRUZ, INCORPORATED Income Statement For Year Ended December 31, 2021 Cost of goods sold. Gross profit Operating expenses (excluding depreciation) Depreciation expense Income before taxes Income taxes expense Net income Required: $ 392,900 252,900 140,000 71,600 30,200 38,200 13,900 $ 24,300 Use the indirect method to prepare the operating activities section of Cruz's statement of cash flows. Note: Amounts to be deducted should be indicated with a minus sign. Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Changes in current operating assets and liabilities Use the indirect method to prepare the operating activities section of Cruz's statement of cash flows. Note: Amounts to be deducted should be indicated with a minus sign. Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Changes in current operating assets and liabilities 0 $ 0