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 Total current assets Furniture Accumulated depreciation-Furniture 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 Sales Cost of goods sold Gross profit 2821 $ 91,100 39,100 81,800 5,200 217,200 105,000 (16,200) $ 306,000 Operating expenses (excluding depreciation) Depreciation expense Income before taxes Income taxes expense Net income ash flows from operating activities CRUZ, INCORPORATED Income Statement For Year Ended December 31, 2021 $ $ 14,400 8,600 1,400 24,400 28,900 53,300 216,400 36,300 $ 306,000 2020 $ 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 se the above balance sheet and income statement to prepare the operating activities section by direct method. Assume all the sales ere made on credit basis. (Amounts to be deducted should be Indicated with a minus sign.) $ 469,700 302, 300 167,400 85,900 36,200 45,300 16,500 $ 28,800
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 Total current assets Furniture Accumulated depreciation-Furniture 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 Sales Cost of goods sold Gross profit 2821 $ 91,100 39,100 81,800 5,200 217,200 105,000 (16,200) $ 306,000 Operating expenses (excluding depreciation) Depreciation expense Income before taxes Income taxes expense Net income ash flows from operating activities CRUZ, INCORPORATED Income Statement For Year Ended December 31, 2021 $ $ 14,400 8,600 1,400 24,400 28,900 53,300 216,400 36,300 $ 306,000 2020 $ 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 se the above balance sheet and income statement to prepare the operating activities section by direct method. Assume all the sales ere made on credit basis. (Amounts to be deducted should be Indicated with a minus sign.) $ 469,700 302, 300 167,400 85,900 36,200 45,300 16,500 $ 28,800
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Required Information
[The following information applies to the questions displayed below.]
A comparative balance sheet and income statement is shown for Cruz, Incorporated.
At December 31
Assets
Cash
CRUZ, INCORPORATED
Comparative Balance Sheets
Accounts receivable, net
Inventory
Prepaid expenses
Total current assets
Furniture
Accumulated depreciation-Furniture
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
Sales
Cost of goods sold
Gross profit
2021
$ 91,100
39,100
81,800
5,200
217, 200
105,000
(16,200)
$ 306,000
Operating expenses (excluding depreciation)
Depreciation expense
Income before taxes
Income taxes expense
Net income
$
$ 14,400
8,600
CRUZ, INCORPORATED
Income Statement
For Year Ended December 31, 2021
216,400
36,300
$ 306,000
1,400
24,400
28,900
53,300
0
2020
$ 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
$ 469,700
302,300
167,400
85,900
36,200
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
45,300
16,500
$ 28,800](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fedf111bd-8104-414c-92c2-cbc9edca5ffc%2F6fb69c88-421e-4193-a2b5-5fd0c404e5b8%2Fjt1i3k8_processed.png&w=3840&q=75)
Transcribed Image Text:Required Information
[The following information applies to the questions displayed below.]
A comparative balance sheet and income statement is shown for Cruz, Incorporated.
At December 31
Assets
Cash
CRUZ, INCORPORATED
Comparative Balance Sheets
Accounts receivable, net
Inventory
Prepaid expenses
Total current assets
Furniture
Accumulated depreciation-Furniture
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
Sales
Cost of goods sold
Gross profit
2021
$ 91,100
39,100
81,800
5,200
217, 200
105,000
(16,200)
$ 306,000
Operating expenses (excluding depreciation)
Depreciation expense
Income before taxes
Income taxes expense
Net income
$
$ 14,400
8,600
CRUZ, INCORPORATED
Income Statement
For Year Ended December 31, 2021
216,400
36,300
$ 306,000
1,400
24,400
28,900
53,300
0
2020
$ 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
$ 469,700
302,300
167,400
85,900
36,200
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
45,300
16,500
$ 28,800
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