QS 16-17 (Algo) Computing financing cash outflows LO P3 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 Prepaid expenses Inventory Total current assets Furniture Accumulated depreciation-Furniture Total assets Liabilities and Equity Accounts payable Wages payable 2021 2020 $ 69,200 29,700 $ 17,200 36,500 62,200 68,500 3,800 3,100 125,300 164,900 76,600 (11,900) $ 229,600 $ 10,800 6,400 87,800 (6,700) $ 206,400 $ 15,200 3,600 Income taxes payable 1,100 2,000 Total current liabilities Notes payable (long-term) Total liabilities Equity Common stock, $5 par value Retained earnings 18,300 20,800 22,700 53,100 41,000 73,900 162,900 25,700 127,800 4,700 Total liabilities and equity $ 229,600 $ 206,400 CRUZ, INCORPORATED Income Statement For Year Ended December 31, 2021 $ 353,400 Sales Cost of goods sold Gross profit Operating expenses (excluding depreciation) Depreciation expense Income before taxes. Income taxes expense Net income 227,500 125,900 64,500 27,200 34,200 12,400 $ 21,800 1. Assume that all common stock is issued for cash. What amount of cash dividends is paid during 2021? 2. Assume that no additional notes payable are issued in 2021. What cash amount is paid to reduce the notes payable balance in 2021?