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 Prepaid expenses Inventory Total current assets Furniture Accumulated depreciation-Furniture Total assets Liabilities and Equity Accounts payable Wages payable 2021 2020 $ 90,700 38,900 $ 22,700 48,100 90,300 81,300 5,100 216,000 102,900 (15,900) $ 303,000 $ 14,300 8,500 4,100 165,200 116,200 (8,800) $ 272,600 $ 20,000 4,600 2,500 Income taxes payable 1,400 Total current liabilities Notes payable (long-term) Total liabilities Equity Common stock, $5 par value Retained earnings 24,200 27,100 28,800 66,300 53,000 93,400 215,100 34,900 171,900 7,300 Total liabilities and equity $ 303,000 $ 272,600 CRUZ, INCORPORATED Income Statement Sales For Year Ended December 31, 2021 $ 466,600 300,300 Cost of goods sold Gross profit Operating expenses (excluding depreciation) Depreciation expense Income before taxes Income taxes expense Net income 166,300 85,200 35,900 45,200 16,500 $ 28,700