Andrew Tym is the sole owner of Deer Park, a public camping ground near the Lake Mead
Question:
Andrew Tym is the sole owner of Deer Park, a public camping ground near the Lake Mead National Recreation Area. Andrew has compiled the following financial information as of December 31, 2014.
Revenues during 2014—camping fees ........$140,000
Revenues during 2014—general store ......... 65,000
Accounts payable ................. 11,000
Cash on hand ................. 23,000
Original cost of equipment ............ 105,500
Fair value of equipment .............$140,000
Notes payable ................. 60,000
Expenses during 2014 ............... 150,000
Accounts receivable ............... 17,500
Instructions
(a) Determine Andrew Tym’s net income from Deer Park for 2014.
(b) Prepare a balance sheet for Deer Park as of December 31, 2014.
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...
Step by Step Answer:
Accounting Principles
ISBN: 9781118566671
11th Edition
Authors: Jerry Weygandt, Paul Kimmel, Donald Kieso