QS 12-13 (Algo) Computing cash from asset sales LO P3

CRUZ, INCORPORATED
Comparative Balance Sheets
At December 31	2021	2020
Assets
Cash	$ 85,900	$ 21,600
Accounts receivable, net	36,900	45,800
Inventory	77,200	86,000
Prepaid expenses	4,900	3,900
Total current assets	204,900	157,300
Furniture	98,900	110,500
Accumulated depreciationFurniture	(15,300)	(8,300)
Total assets	$ 288,500	$ 259,500
Liabilities and Equity
Accounts payable	$ 13,600	$ 19,100
Wages payable	8,100	4,300
Income taxes payable	1,300	2,400
Total current liabilities	23,000	25,800
Notes payable (long-term)	26,800	63,700
Total liabilities	49,800	89,500
Equity
Common stock, $5 par value	207,600	165,100
Retained earnings	31,100	4,900
Total liabilities and equity	$ 288,500	$ 259,500

CRUZ, INCORPORATED
Income Statement
For Year Ended December 31, 2021
Sales	$ 444,200
Cost of goods sold	285,900
Gross profit	158,300
Operating expenses (excluding depreciation)	81,200
Depreciation expense	34,200
Income before taxes	42,900
Income taxes expense	15,600
Net income	$ 27,300

Furniture costing $75,900 is sold at its book value in 2021. Acquisitions of furniture total $64,300 cash, on which no depreciation is necessary because it is acquired at year-end. Complete the general ledger accounts to calculate cash received from the sale of furniture.

Furniture and Accumulated Depreciation Table