Otay Lakes Park is a private camping ground near the Mount Miguel Recreation Area. It has compiled the following fi nancial information as of December 31, 2022. Instructions a. Determine Otay Lakes Park’s net income for 2022. b. Prepare a retained earnings statement and a balance sheet for Otay Lakes Park as of December 31, 2022. c. Upon seeing this

Chapter 1, Exercises #14

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Otay Lakes Park is a private camping ground near the Mount Miguel Recreation Area. It has compiled the following fi nancial information as of December 31, 2022. 

Service revenue (from camping fees) Sales revenue (from general store) Accounts payable Cash Equipment $132,000 Dividend

Instructions 

a. Determine Otay Lakes Park’s net income for 2022. 

b. Prepare a retained earnings statement and a balance sheet for Otay Lakes Park as of December 31, 2022. 

c. Upon seeing this income statement, Walt Jones, the campground manager, immediately concluded, “The general store is more trouble than it is worth—let’s get rid of it.” The marketing director isn’t so sure this is a good idea. What do you think?


Balance Sheet
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...
Related Book For answer-question

Financial Accounting Tools for Business Decision Making

9th edition

Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso

ISBN: 978-1119493631