Chapter 5, Problem P5.51PS

To determine

Journal Entry: Journal entry means logging the debits and credits with their respective dates and account names. All the transactions have to be logged in a chronological order in a Journal.

Income Statement - Income statement assists in judging the financial status of companies. In multistep income statement in order to arrive to the net income, lot of subtractions and sub total is done. This statement is easier for readers to segregate the information they need from this report. Expenses, Gross profit percentage and other incomes are some of the subtotals. In a single step income statement revenues are calculated separately and expense items are calculated separately while the net profit or loss is mentioned at the report bottom.

Journalize entries, Prepare T-accounts ledger, trial balances, income statement (single step and multiple steps) balance sheet and owner’s equity for Crystal Clear Cleaning.