Walls and Ceilings - How to level drywall after removing tiles in kitchen

I just bought my house a couple months ago and they had this really ugly tiles and the grout was yellow and falling out. So i took them out.

It was was my first time removing them, so i made a bit of a mess. Theres a couple small holes in the wall. And the whole wall is all uneven to paint.

But my question is i do not want to put tiles again i just want to paint it, except the wall is all patches and uneven.

How would i go about fixing the wall so its all even? Do i have to replace the wall or do i just use that puddy stuff and even it all out?

Help!!:(:)

Pics-

http://wasku.com/uploader/my_pics/wall (1).JPG

http://wasku.com/uploader/my_pics/wall (3).JPG

http://wasku.com/uploader/my_pics/wall.JPG

http://wasku.com/uploader/my_pics/wall (2).JPG

http://wasku.com/uploader/my_pics/wall (4).JPG

There are some really nice sheets of "back splash" available at some supply houses. I don't remember the correct name. You could skim coat it with setting compound but that can be tricky.

If you skim coat and aren't confident you can level it out well, regular ready mixed joint compound is easier to sand. Using a sanding block or anything to hold the sandpaper flat will help in leveling out any uneven joint compound.

I always found detting compound easier.