Refer to the information below for Morningside Environmental Inc. Calculate the:a. Cash paid for the purchase of the franchise during 2023.b. Cash proceeds for equipment sold during 2023.c. Change in cash and cash equivalents during 2023.

¹Equipment was sold during 2023; equipment was purchased for $70 cash. 

²Profit for 2023 included depreciation expense of $30, $5 amortization expense, and a gain on sale of equipment of $35.

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Morningside Environmental Inc. Comparative Balance Sheet Information December 31 Cash Cash equivalents Accounts receivable (net) Equipment¹ Accumulated depreciation Franchise (net) Accounts payable Common shares Retained earnings² 2023 $ 25 25 46 260 80 20 59 90 147 $5 30 20 2022 265 90 0 52 90 88