Additional information: 1. Furniture with an original cost of $55,000 was sold at its book value in 2021. HINT: You must determine the amount of cash received. 2. New furniture was acquired in 2021 for $45,000 cash, on which no depreciation is necessary because it is acquired at year-end. 2. All common stock was issued at par value for cash. 3. Cash dividends were declared and paid in 2021 4. No additional notes payable were issued in 2021. The reduction to long-term notes payable was from cash payments to reduce the loan balance. CRUZ, INC Comparative Balance Sheets December 31 2021 2020 Change Assets Eash Accounts Receivable, net Inventory Prepaid expenses Total Current Assets Furniture Accum. Depreciation Furniture Total Assets 94,800 41,000 85,800 5,400 227,000 109,000 (17,000) 319,000 24,000 51,000 (10,000) 95,800 (10,000) 1,200 175,000 119,000 19,000) 285,000 Liabilities Accounts Payable Wages Payable Income Taxes Payable Total Current Liabilities Long-term notes payable Total Liabilities 15,000 9,000 1,400 25,400 29,000 54,400 21,000 5,000 2,600 28,600 69,000 97,600 Equity Common stock, $5 par Retained Earnings Total Equity Total Liabilities and Equity 229,000 35,600 264,600 319,000 179,000 8,400 187,400 285,000 CRUZ, INC Income Statement For the year ended December 31, 2021 488,000 314,000 174,000 Sales Cost of goods sold Gross profit Operating expenses Depreciation expense Other operating expenses Total operating expenses Income before taxes Income Taxes expense Net income 37,600 89,100 126,700 42,300 17,300 30.000 M CU South Decan 03 Decat One 30.000 37.600 1100001 118 WA fritt furt Am warow At 3 >