At December 31 Assets CRUZ, INCORPORATED Comparative Balance Sheets Cash Accounts receivable, net Prepaid expenses Inventory Total current assets Furniture Accumulated depreciation-Furniture Total assets Liabilities and Equity Accounts payable Wages payable Income taxes payable Total current liabilities Notes payable (long-term) Total liabilities. Equity Common stock, $5 par value Retained earnings Total liabilities and equity Sales 2021 $ 75,900 32,600 68,300 2020 $ 18,900 40,100 75,300 4,200 3,500 181,000 137,800 84,600 (13,100) $ 252,500 $ 11,900 7,100 99,200 (7,500) $ 229,500 $ 16,900 4,000 1,200 2,200 20,200 23,100 24,800 58,400 45,000 81,500 177,300 141,500 30,200 $ 252,500 6,500 $ 229,500 CRUZ, INCORPORATED Income Statement For Year Ended December 31, 2021 $ 392,900 Cost of goods sold Gross profit Operating expenses (excluding depreciation) Depreciation expense Income before taxes 252,900 140,000 71,600 30,200 38,200 www Operating expenses (excluding depreciation) Depreciation expense Income before taxes Income taxes expense Not income 71,600 30,200 38,200 13,900 $ 24,300 QS 16-28B (Algo) Direct: Computing cash from operations LO P5 Use the above balance sheet and income statement to prepare the operating activities section by direct method. Assume all the sale were made on credit basis. (Amounts to be deducted should be indicated with a minus sign.) Cash flows from operating activities S 0