! Required information Use the following information for the Quick Study below. [The following information applies to the questions displayed below.] A comparative balance sheet and income statement is shown for Cruz, Inc. 2016 CRUZ, INC. Comparative Balance Sheets December 31, 2017 2017 Assets Cash $ 94,800 Accounts receivable, net 41,000 Inventory 85,800 Prepaid expenses 5,400 Total current assets 227,000 Furniture 109,000 Accum. depreciation-Furniture (17,000) Total assets $319,000 Liabilities and Equity Accounts payable $ 15,000 Wages payable 9,000 Income taxes payable 1,400 Total current liabilities 25,400 Notes payable (long-term) 29,000 Total liabilities 54,400 Equity Common stock, $5 par value 229,000 Retained earnings 35,600 Total liabilities and equity $319,000 $ 24,000 51,000 95,800 4,200 175,000 119,000 (9,000) $285,000 $ 21,000 5,000 2,600 28,600 69,000 97,600 179,000 8,400 $285,000 CRUZ, INC. Income Statement For Year Ended December 31, 2017 CRUZ, INC. Income Statement For Year Ended December 31, 2017 Sales $ 488,000 Cost of goods sold 314,000 Gross profit 174,000 Operating expenses Depreciation expense $37,600 other expenses 89, 100 126,700 Income before taxes 47,300 Income taxes expense 17,300 Net income $ 30,000 QS 12-15B Direct: Computing operating cash outflows LO P5 1. How much cash is paid to acquire inventory during year 2017? Cash paid for inventory 2. How much cash is paid for "other expenses" during year 2017? (Hint: Examine prepaid expenses and wages payable.) Cash paid for other expenses QS 12-16B Direct: Computing cash from operations LO P5 Use the above balance sheet and income statement to prepare the cash provided (used) from operating activities section by direct method. (Amounts to be deducted should be indicated with a minus sign.) Cash flows from operating activities $ 0