QS 12-13 Computing cash from asset sales LO P3 2018 CRUZ, INC. Comparative Balance Sheets December 31, 2019 2019 Assets Cash $ 94,800 Accounts receivable, net 41,000 Inventory 85,800 Prepaid expenses 5,400 Total current assets 227,000 Furniture 109,00 Accum. depreciation-Furniture (17,280) Total assets $319,000 Liabilities and Equity Accounts payable $ 15,000 Wages payable 9,000 Income taxes payable 1,400 Total current liabilities 25,400 Notes payable (long-term) 29,000 Total liabilities 54,480 Equity Common stock, $5 par value 229,00 Retained earnings 35,600 Total liabilities and equity $319,000 $ 24,000 51,00 95,800 4, 2ee 175, eee 119, eee (9,280) $285,00 $ 21,000 5,000 2.600 28,600 69, eee 97,600 179,000 8,400 $285,000 CRUZ, INC. Income Statement For Year Ended December 31, 2019 Sales $488,888 Cost of goods sold 314, ne Gross profit 174,00 Operating expenses Depreciation expense $ 37,600 Other expenses 89,129 126,709 Income before taxes 47, 300 Income taxes expense 17.30 Net income $ 30,eee Furniture costing $55,000 is sold at its book value in 2019. Acquisitions of furniture total $45,000 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. Answer is not complete. Furniture 119.000 Beg. bal. Sale of assets 55.000 End. bal. 64.000 9.000 Accumulated Depreciation Beg. bal. Sale of assets 29.600 2019 depreciation 37.600 End. bal. 17.000 S Cost Accumulated depreciation Book value (Cash received) 55,000 (29,600) 25,400 $