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 2021 2020 Assets Cash Accounts receivable, net $ 62,700 27,000 $ 15,700 33,300 Inventory Prepaid expenses 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 CRUZ, INCORPORATED Income Statement 56,600 3,500 62,500 2,900 149,800 114,400 70,500 (10,900) $ 209,400 82,200 (6,200) 190,400 $ 9,900 $ 14,000 5,900 3,300 1,000 1,800 16,800 19,100 20,700 47,800 37,500 66,900 152,200 19,700 123,000 500 $ 209,400 $ 190,400 For Year Ended December 31, 2021 $ 326,000 209,800 Sales Cost of goods sold Gross profit Operating expenses (excluding depreciation) Depreciation expense Income before taxes Income taxes expense Net income 116,200 59,500 25,100 31,600 11,500 $ 20,100