Question - Deer Park, a public camping ground near the Lake Mead National Recreation Area, has compiled the following financial information as of December 31, 2008.
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Revenues during 2008-camping fees
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$140,000
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Notes payable
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$60,000
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Revenues during 2008-general store
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50,000
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Expenses during 2008
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150,000
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Accounts payable
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11,000
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Supplies on hand
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2,500
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Cash on hand
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23,000
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Common stock
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20,000
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Original cost of equipment
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105,500
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Retained earnings
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?
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Market value of equipment
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140,000
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|
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Instructions -
(a) Determine Deer Park's net income for 2008.
(b) Prepare a balance sheet for Deer Park as of December 31, 2008.