What is shown in the picture so far, has been shown to be correct. Appreciate the help and explanation of how you go about the answer. I will rate satisfactory upon completion.

Required information [The following information applies to the questions displayed below.) A comparative balance sheet and income statement is shown for Cruz, Incorporated. 2020 $ 20,600 43,700 82,000 3,700 150,000 104,800 (8,000) $ 246,800 CRUZ, INCORPORATED Comparative Balance Sheets At December 31 2021 Assets Cash $ 82,800 Accounts receivable, net 35,500 Inventory 74,300 Prepaid expenses 4,600 Total current assets 197,200 Furniture 92,800 Accumulated depreciation,Furniture (14,400) Total assets $ 275,600 Liabilities and Equity Accounts payable $ 13,000 Wages payable 7,700 Income taxes payable 1,300 Total current liabilities 22,000 Notes payable (long-term) 26,800 Total liabilities 48,800 Equity Common stock, $5 par value 198,800 Retained earnings 28,000 Total liabilities and equity $ 275,600 $ 18,200 4,300 2,400 24,900 63,700 88,600 155, 300 2,900 $ 246,800 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 $ 422,500 271,900 150,600 77,100 32,500 41,000 14,900 $ 26,100 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 Payments for inventory Payments for other expenses Receipts from sales to customers Payments for taxes $ 0