Toni Pena is the sole owner of Deer Park, a public camping ground near the Lake Mead National Recreation Area. Toni has compiled the following financial information as of December31, 2012.
|
Revenues during 2012—camping fees |
$140,000 |
Fair value of equipment |
$140,000 |
|
Revenues during 2012—general store |
65,000 |
Notes payable |
60,000 |
|
Accounts payable |
11,000 |
Expenses during 2012 |
150,000 |
|
Cash on hand |
23,000 |
Supplies on hand |
17,500 |
|
Original cost of equipment |
105,500 |
Instructions
(a) Determine Toni Pena’s net income from Deer Park for 2012.
(b) Prepare a balance sheet for Deer Park as of December 31, 2012.