Total liabilities and equity 36, 360 $ 306,800 8,700 $ 274,400 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 $ 469,700 302, 300 167,4ae 85,90 36,200 45, Jee 16, See $ 28,860 QS 12-27B (Algo) Direct: Computing operating cash outflows LO P5 How much cash is paid to acquire inventory during year 2021? 2. How much cash is paid for operating expenses (excluding depreciation) during year 20217 Hint Examine prepaid expenses and wages payable 23 24 of 27 2020 CRUZ, INCORPORATED Comparative Balance Sheets At December 31 2021 Assets Cash $ 91,100 Accounts receivable, net 39, 100 Inventory 81,800 Prepaid expenses 5,200 Total current assets 217,200 Furniture 105,000 Accumulated depreciation-Furniture (16,200) Total assets $ 306,000 Liabilities and Equity Accounts payable $ 14,400 Wages payable 8,600 Income taxes payable 1,400 Total current liabilities 24,400 Notes payable (long-term) 28,900 Total liabilities 53,300 Equity Common stock, $5 par value 216,400 Retained earnings 36,300 Total liabilities and equity $ 306,000 $ 22,900 48,600 91,300 4,100 166,900 116,200 (8,700) $ 274,400 $ 20,200 4,500 2,500 27,200 66,400 93,600 172, 100 8,700 $ 274,400 CRUZ, INCORPORATED