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 $ 85,600 36,800 77,100 4,700 204, 200 94,700 (14,700) $ 284,200 Operating expenses (excluding depreciation) Depreciation expense Income before taxes Income taxes expense Net income $ 13,400 8,000 1,400 22,800 28,900 51,700 204,000 28,500 $ 284,200 CRUZ, INCORPORATED Income Statement For Year Ended December 31, 2021 2020 $ 21,300 45,200 84,900 3,900 155,300 110,500 (8,400) $ 257,400 1. How much cash is paid to acquire inventory during year 2021? $ 19,000 4,500 2,500 26,000 66,400 92,400 162,300 2,700 $ 257,400 $ 440,700 283,700 157,000 80,400 33,900 42,700 15,500 $ 27,200

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 $ 85,600 36,800 77,100 4,700 204, 200 94,700 (14,700) $ 284,200 Operating expenses (excluding depreciation) Depreciation expense Income before taxes Income taxes expense Net income $ 13,400 8,000 1,400 22,800 28,900 51,700 204,000 28,500 $ 284,200 CRUZ, INCORPORATED Income Statement For Year Ended December 31, 2021 2020 $ 21,300 45,200 84,900 3,900 155,300 110,500 (8,400) $ 257,400 1. How much cash is paid to acquire inventory during year 2021? $ 19,000 4,500 2,500 26,000 66,400 92,400 162,300 2,700 $ 257,400 $ 440,700 283,700 157,000 80,400 33,900 42,700 15,500 $ 27,200

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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