Required information Use the following information for the Quick Study below. (Algo) [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 Inventory Prepaid expenses 2021 2020 $ 73,200 $ 18,300 31,400 38,800 65,700 72,800 4,100 3,300 Total current assets Furniture Accumulated depreciation-Furniture Total assets Liabilities and Equity 174,400 133,200 82,700 93,500 (12,800) $ 244,300 (7,100) $ 219,600 Accounts payable Wages payable Income taxes payable $ 11,500 $ 16,200 6,800 3,800 1,100 2,100 Total current liabilities Notes payable (long-term) Total liabilities Equity Common stock, $5 par value Retained earnings 19,400 22,100 22,700 55,700 42,100 77,800 173,100 134,500 29,100 7,300 Total liabilities and equity $ 244,300 $ 219,600 CRUZ, INCORPORATED Income Statement For Year Ended December 31, 2021 Sales Cost of goods sold Gross profit Operating expenses (excluding depreciation) Depreciation expense Income before taxes Income taxes expense Net income $ 375,900 241,900 134,000 68,600 28,900 36,500 13,300 $ 23,200 QS 12-28B (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 sales were made on credit basis. (Amounts to be deducted should be indicated with a minus sign.) Cash flows from operating activities Receipts from sales to customers Payments for inventory Payments for other expenses Payments for taxes $