Required information [The following information applies to the questions displayed below.] A comparative balance sheet and income statement is shown for Cruz, Incorporated. CRUZ, INCORPORATED Comparative Balance Sheets At December 31 Assets Cash Accounts receivable, net Prepaid expenses Inventory Total current assets Furniture Accumulated depreciation-Furniture Total assets Liabilities and Equity Accounts payable Wages payable 2021 2020 $ 99,300 42,600 $ 24,900 89,100 52,800 99,200 5,600 4,500 236,600 181,400 113,000 127,500 (17,500) (9,600) $ 332,100 $ 15,700 9,400 $ 299,300 $ 22,000 5,000 Income taxes payable 1,500 2,800 Total current liabilities Notes payable (long-term) Total liabilities Equity Common stock, $5 par value Retained earnings 26,600 29,800 30,900 74,300 57,500 104,100 241,200 33,400 192,600 2,600 Total liabilities and equity $ 332,100 $ 299,300 CRUZ, INCORPORATED Income Statement For Year Ended December 31, 2021 Sales Cost of goods sold $ 512,300 329,700 Gross profit Operating expenses (excluding depreciation) Depreciation expense Income before taxes Income taxes expense Net income 182,600 93,500 39,400 49,700 18,100 $ 31,600 1. How much cash is paid to acquire inventory during year 2021? 2. How much cash is paid for operating expenses (excluding depreciation) during year 2021? Hint: Examine prepaid expenses and wages payable. 1. Cash paid for inventory 2. Cash paid for operating expenses