Use the indirect method to prepare the operating activities section of the statement of cash flows

CRUZ, INC. Comparative Balance Sheets December 31, 2019 2019 2018 Assets Cash Accounts receivable, net Inventory Prepaid expenses Total current assets Furniture Accum. depreciation-Furniture $ 97,400 $ 24,400 41,800 51,700 87,490 97,100 5,500 4,400 232,100 177,600 111,000 124,700 (17,200) (9,480) $325,900 $292,900 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 $ 15,400 $ 21,500 9,2004,900 1,500 2,700 26,100 29,100 30,900 71,600 57,000 100,700 232,600 185,600 36,300 6,600 $325,900 $292,900 CRUZ, INC. Income Statement For Year Ended December 31, 2019 Sales $501,300 Cost of goods sold 322,600 Gross profit 178,700 Operating expenses Depreciation expense $38,600 Other expenses 91,600 130,200 Income before taxes 48,500 Income taxes expense 17,700 Net income $ 30,800